If you’re working in the consumer packaged goods (CPG) industry, you know how complex it can be to get your products on store shelves and keep them there. That’s where a CPG broker comes in. Think of a CPG broker as a partner who helps bridge the gap between your brand and the retailers that sell your products. They handle the ins and outs of retail representation so you can focus on what you do best: creating great products.
What Does a CPG Broker Do?
A CPG broker is an intermediary between manufacturers (suppliers) and retailers. Their main role is to help get your products into stores and onto physical and digital shelves. This involves negotiating deals, managing relationships, and presenting your brand to buyers in the most compelling way possible. Brokers bring expertise in market trends, pricing strategies, and promotional opportunities, helping your brand stand out in a crowded marketplace.
But a good broker doesn’t just make introductions. They act as an advocate for your brand, working to secure the best placement, expand distribution, and optimize marketing efforts.
In addition to sales, they also keep an eye on profitability by managing things like retail deduction recovery, which helps prevent losses from unnecessary chargebacks and deductions.
The Partnership Between Supplier and Broker
A successful supplier-broker relationship goes beyond transactions; it’s a true partnership built on trust and shared goals. A CPG broker becomes an integral part of your team, fully understanding your product and helping strategize to grow your market presence. This collaborative partnership can help you feel confident in your brand's growth, knowing someone is in your corner to navigate the complexities of the retail landscape.
For many suppliers, the demands of product development, supply chain management, and other operational responsibilities make it challenging to focus on retail representation. A broker takes on the tasks of sales negotiation, retail relationships, and deduction recovery, freeing you to put your energy where it matters most—on your products and brand.
How a CPG Broker Helps Grow Your Brand
So, what are the specific ways a CPG broker can help?
Access to Retailers: Brokers often have established relationships with key retailers across various channels, including grocery chains, specialty shops, and online platforms. They can open doors that may otherwise be difficult to access.
Retail Strategy & Representation: Once your product is in the store, a broker helps ensure it performs well. They assist with pricing strategies, planograms, and promotional planning to maximize visibility and shelf space.
Sales Growth: Brokers use data-driven insights to identify opportunities to expand your brand's footprint. They analyze trends and competitor performance to keep your strategy aligned with consumer demand.
Deduction Recovery: Dealing with retail deductions and chargebacks can be a costly and time-consuming for suppliers. Many brokers offer deduction recovery solutions to help suppliers recoup funds lost due to shipping issues, damages, or promotional costs. While some deductions are justified, others can be errors that eat into your profit. A broker can help ensure you’re not losing money to unnecessary deductions.
Brokers Free Suppliers to Focus on Their Core Business
One of the biggest values a broker provides is peace of mind. They take on the heavy lifting of retail negotiations, product launches, and deduction recovery, letting you focus on growing and refining your brand. Knowing that an experienced partner is handling these critical aspects of your business can give you the confidence to scale while staying true to your core vision and product quality.
In short, a good broker becomes your brand’s biggest advocate, helping you navigate challenges, spot new opportunities, and grow in an increasingly competitive marketplace.