Unitas to prioritise improvements in availability and own label

Unitas Wholesale is to improve delivery and availability levels into member depots through investments in forecasting and a potential tie-up with logistics firm DHL.

The strategy was revealed in the firm’s annual results for the 31 March 2023. In the trading report, Unitas said: “The focus of the board and executive directors has been to optimise current workstreams and strategic priorities which all define the future development of the group and ensure growth and beneficial value for both members and suppliers.

“The board has identified, and invested appropriately, in three key areas. Own brand development, central services and supply chain optimisation.”

Unitas’s convenience wholesale membership includes Parfetts, Blakemore, Dee Bee, Lioncroft, Dhamecha, United Wholesale Scotland, United Wholesale Grocers, Time and Eden Farm Hulleys.

Speaking in more detail about the strategy to RN, Unitas managing director John Kinney said: “We’re looking at how we forecast with suppliers more efficiently and improve deliveries into our members centrally.

“Members won’t always order stock into warehouses to a set schedule, due to changing cash flow and availability levels. It’s about looking at how improve operational efficiencies significantly.”

Kinney also referenced a potential partnership with DHL to improve central distribution into warehouses, but stressed discussions were in the very early stages.

At the end of last year, the firm also replaced the Lifestyle own label range with its new Local Living brand. The initial line up consists of 90 products such as sauces, toilet roll and soft drinks. It is to be extended to 150 lines this year, with Kinney revealing Unitas will make a more major announcement about the range in March.

He added: “Local Living has been received well so far and we thought it was appropriate to rebrand Lifestyle. It was a natural termination. We’ve developed and launched it in collaboration with our members, rather than develop and push it onto them.”

Kinney stressed Unitas had also seen an uplift in demand for premium own label products. “Shared margins on price-marked products will still be a challenge across 2024,” he said. “PMPs will be even more important this year among the cost-of-living crisis and the growth of discounters. It’s important suppliers get the right margin for wholesalers and retailers, while also ensuring the price point doesn’t go way out of line for consumers.”