IPAP does not require a minimum order for any supplier but still makes frequent deliveries to distributors. As a result, distributors enjoy the rare combination of faster turns, lower carrying costs and improved service levels versus direct sourcing from multiple suppliers. In addition to the financial benefits, faster turns mean higher quality dairy products for consumers.
IPAP negotiates the lowest pricing available for its vast distributor base. Distributors often receive better pricing than if dealing directly with a dairy supplier. While high-volume suppliers may ship in full truckloads and offer “best possible” pricing, others ship less than truckload (LTL) orders with price premiums to the distributor. By consolidating these LTL shipments into a single IPAP shipment, the distributor pays less, even on full-truckload shipments from a single supplier.