The #1 Bulk Olive Oil Buying Mistake

Posted by Hannah Broaddus

The #1 Bulk Olive Oil Buying MistakeIn the bulk edible oil industry, the biggest mistake we see manufacturers’ making is purchasing 1-2 drums of olive oil at a time, instead of ordering full pallets of 4 drums.  

For some buyers, it is a no-brainer always buy full pallets, but others choose to simply buy what they need at the moment.  

Here’s Why They’re Losing Money By Ordering Only 1 Drum:

Shipping often costs the same for one drum as it does for a full pallet of four.  When you ship with a freight carrier, a drum is strapped to a pallet and the pallet is loaded into the truck.  Whether you pack 4 drums on that pallet, or just put one, the pallet itself still takes up the same 48” x 48” space in the truck.  Therefore, freight carriers charge a similar cost no matter how much you put on that pallet.  

Sometimes you will see a slight difference in price, but it is not proportional.  By this I mean, if you ship a pallet of four, it will often be $250-$350.  If you ship 1 drum to the same address it will likely be $200-$275 for the one drum-- but not 1/4 of the full pallet price.

No matter how you look at it, you spend much more on shipping when you buy a single drum at a time.  Instead of ordering just what you may need at the moment, plan ahead and order a full pallet if you can use it up within 6-8 months.

Want help looking at the rest of your bulk oil buying decisions?  Download The Ultimate Guide To Buying Olive Oil For Manufacturing eBook.

Topics: Packaging, Small Businesses Advice



Related Articles

Download the Manufacturer's Ultimate Guide To Bulk Edible Oil Packaging

Enter your email below to get commodity market updates & cost-saving tips for procurement professionals.






Buy & Ship Direct From Our Online Store

Select an item below to see live pricing (LTL quotes included at checkout).



Now you can order direct from our website, without ever talking to a salesperson.  We've created this new industry-leading online storefront which makes the bulk oil buying process so much easier!

  • See live price quotes for oils online
  • Shipping costs are auto-calculated at checkout
  • Buy single drums, partial pallets or full pallets
  • Pay with a credit card
  • Ships from Centra Foods within 1-3 business days