The Impact of Market Baskets on RFPs
How This Process Can Save You Money
In the competitive world of hospitality procurement, the RFP process is a pivotal stage in selecting group purchasing partners, as well as individual suppliers. Exploring the role of market baskets in RFPs unveils a powerful method for optimizing supplier evaluations and making sound business decisions.
Read on to learn more about market baskets and how they can save your business money.
Understanding Market Baskets
You wouldn’t want to buy something without knowing how much it costs. The same goes for your business. Market
baskets take the guesswork out of working with new suppliers or purchasing groups.
How does it work? When you’re thinking of switching to a new supplier or group purchasing organization, you’ll request a market basket in your RFP (request for proposal.) Your GPO or supplier will come back with high-level and sometimes item-level spend details covering the products you’d want to switch to. That way, you can determine whether the switch would save you money.
How Market Baskets Streamline RFPs
Choosing amongst purchasing programs can feel overwhelming. It’s helpful to have a uniform process for assessing suppliers and their offerings. That’s what market baskets provide.
When you request a market basket in your RFP for each supplier, you’ll receive data that covers the same items across your buying portfolio. That way you can weigh the benefits of each option and determine which supplier can provide optimal savings.
The impact is only magnified when you use market baskets to decide on joining a group purchasing organization. These groups connect you with multiple suppliers and programs, all at once. RFPs for these groups will often show larger savings potential and often reveal savings for supplier programs that you already use independently.
Driving Success Through Future-Ready Procurement Processes
Interested in a market basket during your RFP process with Foodbuy Hospitality? Our Market Basket team will target your top 80% of spend to reveal savings that will make the biggest impact. Their thorough process will reveal item-level savings for broadline, regional, and even non-food programs like resort and hotel amenities.
Depending on the details of your request, most market baskets are completed in around 20 business days or less.
Take the First Step to Revealing Savings
The integration of market baskets in RFP processes offers unparalleled benefits for hospitality professionals. Leveraging this tool fosters stronger supplier relationships and drives cost-effective decision-making. Reach out to a member of the Foodbuy Hospitality sales team now to get started on the RFP process.