US Foods (USFD) Piper Sandler Growth Frontiers Conference summary

Industry performance and market share

• Achieved 13 consecutive quarters of share gains among independent customers, outpacing industry foot traffic declines.

• Growth driven by technology, product assortment, and team-based selling, with increased onboarding of new customers.

• No unique environmental factors favoring large operators; focus remains on customer-centric service and innovation.

Strategic initiatives and technology

• Pronto service expanded to 40 markets, targeting $700M in business, with pilots for existing customers underway.

• AI-enabled digital pricing tool in network deployment, replacing legacy systems for better pricing flexibility and margin management.

• Advanced analytics and machine learning enhance customer experience, including delivery tracking and operational tools.

Specialty, private label, and category management

• Specialty produce is a fast-growing category; focus shifting to proteins with incremental capital investment in processing.

• Private label penetration rising, with no near-term ceiling; supply chain improvements and seller incentives drive growth.

• Strategic category management and vendor partnerships targeted to deliver $260M in COGS savings from 2025-2027.