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ChefMod Year In Review: 2019 Growth & Trends Report

We are happy to share our annual report looking at how our membership and service has grown over the last year and some of the purchasing trends and insights we’ve gained in 2019. Enjoy!

Staying on trend and watching for new and different brands is at the core of what ChefMod delivers. When markets spike and even when they don’t, we have been the leader in providing quality Alternative options for nearly everything that you buy for your restaurant. 

We are happy to share our annual report looking at how our membership and service has grown over the last year, look at some of the purchasing trends and insights we’ve gained in 2019.

We created 4988 new items in 2019 which is 27% more than the 3900 we created the year before. 

Chefs and Restaurants are Buying New, Buying Different…

Our membership base is a lively bunch and always hungry for new and interesting products. 

Categorically, the increases in new items creation came mostly from:

New seafood items ordered increased 26% more from this year over last, with 7% higher sales. This is neither good or bad, but it does mean that our members are buying MORE and DIFFERENT Seafood items. Inside the Seafood category, Shrimp led this year’s new item growth with purchases of over 13,000 lbs in items created, driving over 125,000 lbs in all shrimp items through the platform.

In Grocery on the other hand, Members are spending about the same dollars, but they are buying different items. This is great news as our members achieve Additional Savings earned by choosing less expensive Alternative items through our platform. An 18% increase in our grocery items between this year than last, with about the same relative sales.

There must be a serge of interest in pizza, as Italian tomatoes, prepared flatbreads, and olive oils led the grocery category for new items in 2019.

Tremendous Growth in Non-Food Categories Drives Huge Member Savings

We had tremendous growth in the non-food categories as well, driving massive savings in the Paper, Equipment and Supplies (E&S) categories.

79% of our growth in new items in this category came from our PAPER program which took 2018 numbers by storm. This program literally doubled in size brining more value to a growing number of ChefMod members.

The growth in this category came through a nation-wide program change from Network Services Company (NSC) to Strategic Marketing Alliance (SMA). Each of these powerful national distribution solutions compete aggressively to place in multi-site programs including national chain business, and of course ChefMod. The result was a ALL-IN program with over 80% participation nationally in a $2,000,000 program that shaved points off the bottom line for every operator in the ChefMod program.

Huge Growth in E&S Categories

A whopping 87% growth in new items came from the E&S category. Think Glassware, China, Flatware which drive the category, but also hundreds of new items were created to satisfy all smallwares items including simple things like highchairs, Rack covers, Drink machines, fryers, serving trays, tilt trucks, and beyond. Literally everything you would need to outfit your restaurant is available through ChefMod. Changes in suppliers spurred MASSIVE growth, with our new suppliers managing over 60% of member spend in these categories, compared to last year’s 15%. Members who changed from their old suppliers to ChefMod’s In-Network prime vendors, earned double digit savings. Participation rates in the new program in 2019 dwarfed 2018 numbers and we’ve still got a long way to go.

Big Changes from Our Amazing Member Services Team

Let’s talk a little about our amazing Member Services Team.

This year our team responded and actioned over 79,000 communications in service to our members, with email dominating the activity. Working two shifts daily, seven days a week, we believe strongly in providing live support to deliver solutions to every request, from placing an order, to finding a delivery, overseeing an emergency order, or just helping members find items in our growing database.

New Member Services Texting Option Roll-Out

We expect big changes this year as we have introduced a Text option (new in 2019) to our Member Services ticketing system allowing and prioritizing text messaging over all other channels. The number to text is the same as our Member Services Hotline which is 646-759-0012.

Set Up Your Next Restaurant for Success with the ChefMod Supplier Network

If you are building out a new restaurant, our Supplier Network has you covered with your build out, including a full design team for all your equipment needs.

ChefMod is a closed program which means that as a member, you are presented with only Best-In-Class distribution options, who are highly motivated. Distributors in our network compete very hard to earn their position in our program and work even harder to keep it. This highly focused group of suppliers gain tremendous efficiencies by servicing the ChefMod membership and therefore invest in our integrations to ensure service and pricing accuracy.

Integrations ballooned in 2019 with new In-Network supplier introductions in South Florida, New York, Washington DC, and Atlantic City. Supplier Integrations ensure that invoicing is audited in real time, so that you don’t spend money for third party auditors.

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