Collaborative buying increases margins for independent grocers
Phoenix, AZ and Plano, TX - Aug. 30, 2006 - Independent grocers and regional chains can combine their purchasing power with similar merchants and lower costs under an agreement between Intesource Inc. and StoreNext Retail Technologies LLC.
StoreNext Connected Services users can participate in Intesource`s Collaboration and Intelligent Aggregation program - "CIA," which enables companies to combine key annual purchasing decisions and post them for bid by prospective vendors.
This service will be marketed by StoreNext and Intesource via the StoreNext Connected Services model of online enterprise applications, with Intesource providing its online intelligent sourcing engine, knowledge and experience.
"While our industry has adopted strategic measures to automate, consolidate and make supermarkets more efficient, independent grocers continue to face significant margin and profit pressures," said Ray Carlin, president and CEO of StoreNext. "This partnership with Intesource will help establish a connected community of common interests that leverages technology to increase profits through industry best practices and unique programs."
Users of the CIA program in both for-resale and not-for-resale categories have saved more than 18 percent on average, while lowering purchase costs immediately, typically saving about 10 times the subscription costs, according to Intesource data.
"StoreNext is the premier provider of world-class business solutions for the independent grocer community," said Intesource president and CEO Ron Southard. "Together, we will expand their ability to directly compete with much larger organizations without some of the traditional disadvantages smaller organizations experience."
Program details are available via the StoreNext and Intesource websites (www.storenext.com and www.intesource.com).
StoreNext Retail Technologies LLC is the No. 1 supplier of retail technology to independent grocers and regional chains. Based in Plano, Texas, StoreNext is a joint venture of Retalix Ltd. (NASDAQ: RTLX) and Fujitsu Transaction Solutions Inc. and markets Fujitsu POS hardware, Retalix`s ISS45 and ScanMaster POS software, Retalix Store and Retalix HQ, as well as Internet Connected Services for managing stores via Web-enabled applications.
StoreNext is the IT company that`s dedicated to meeting the needs of this wholesaler-served market with packaged solutions that were previously available, affordable or practical only for large chains.
Intesource, Inc. is a global provider of strategic sourcing and e-procurement solutions. Serving many industries including retail and consumer goods, Intesource delivers superior technology with deep industry knowledge. Our on-demand and enterprise solutions lead to high impact results including enhanced productivity, cost reduction, and bottom line profitability. We do more than help: We maximize your ability to profitably succeed.