There is still a place for traditional cash and carry warehouses, as independent retailers demand education about government legislation and trends such as vaping, RN has been told.
Dhamecha Wholesale area manager Narendra Chotai said unlike rivals Bestway, Booker and
Parfetts, the company is not placing its investment in and focus on delivered wholesale.
“We hold trade days where suppliers can come in and educate retailers about the latest trends, as well as provide advice on how to tackle legislation such as EUTPD II or the deposit return scheme.”
He added: “They can come to the warehouse and browse for products they might not otherwise know about, and get competitive deals. Retailers can chat to other retailers for information on best practice and find out what’s happening in the market overall.”
He said there was therefore still a place for the traditional cash and carry model, with the Dhamecha Retail Club now having more than 1,000 retailer members.
Mr Chotai’s comments come as convenience analyst Him’s latest survey of 3,000 retailers found 89% now use delivered wholesale as their main supply source.
However, Sarj Patel, of Pasture Lane Stores in Sutton Bonington, Loughborough, told RN he predominantly shops at his nearest depot: “I do use delivered wholesale, but most of my purchases come from visiting the main Dhamecha warehouse nearby. It just allows me to look for the best prices and receive more education on certain products from suppliers during trade days.”
Meanwhile, Mr Chotai said the business would focus on its nine warehouses in Wembley, Barking, Croydon, Enfield, Watford, Hayes, Lewisham, Leicester and Birmingham.
“We’ll consider it carefully if the opportunity to expand comes, but right now we’re just focusing on developing the warehouses we currently operate,” he said.
Read more: Parfetts’ Cash and Carry has record turnover for second year