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- Economies of Scale
We strongly suggest that schools within a geographic area consider working in collaboration to implement changes to their Tuckshops, as this will ensure improved economies of scale.
During the pilot we ran we sought access to healthier food items directly from manufacturers, as this enabled us to determine that the food items met our criteria. Accessing food items directly from the manufacturer had the added advantage of accessing the product at wholesale price, rather than retail. We did, however, need to overcome logistical issues, such as transport and delivery. By working with more schools you would increase the amount of product ordered and spread the transport costs over a number of schools, therefore reducing the cost to each school and improving profit margins.
Note: distributors sell food items to the schools directly and have already added their profit margin to the cost .
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