Presentation on theme: "An introduction to The UK Health Sector HSM Credentials Area of Expertise - Works specifically in the Health Channel Cliff Moss – Has held a number."— Presentation transcript:
HSM Credentials Area of Expertise - Works specifically in the Health Channel Cliff Moss – Has held a number of key industry positions including Consultant to some major Brand Owners, and was Managing Director of Green & Black’s Turnover Responsibility - brands now represent a turnover of over £35m retail sales
Health Sector Credentials A Brand Sales Management Company Green & Black’s Heath & Heather Tea Rowse Honey Cauldron Foods LifeStream Trilogy Aqua Oleum Toms of Maine Since 1995 – currently employs a team of 15 people and has a close collaborative relationship with key industry figures
Holland & Barrett £280 million (approximately) Independents £250 million (approximately) 40% Food - 60% Non Food (Value) No TNS or other sector data Market Size
H & B Group is the major player in channel with 516 H & B stores 31 GNC Stores 69 De Tuinen 19 Natures Way (Irish Stores) 1100 independent stores but few other chains 1 Wholefoods Market, 5 Fresh & Wild 5 Planet Organic Wyedean – 15 Stores Independent market served by 18 main UK wholesalers (2 Irish wholesalers) Sector Summary
The Health Store Infinity Foods Community Foods Suma Wholefoods Rainbow Granary Essential Trading Good Food Distributors Goodness Foods Tree of Life Green City Highland Wholefoods Wholefoods Wholesale Juniper Marigold Lembas Munster Wholefoods Queenswood Health Food Wholesalers CLF Distribution
The Health Store Infinity Foods Community Foods Holland & Barrett GNC Suma Wholefoods Rainbow Granary Essential Trading Good Food Distributors Goodness Foods Tree of Life Green City Highland Wholefoods Wholefoods Wholesale Juniper Marigold Lembas Munster Wholefoods CLF Distribution Many wholesalers supply stores in other wholesalers ‘natural’ territories Queenswood Pitman Agencies Sales Coverage - Territory
The Health Store Infinity Foods Community Foods Suma Wholefoods Rainbow Granary Essential Trading Good Food Distributors Goodness Foods Tree of Life Green City Highland Wholefoods Wholefoods Wholesale Juniper Marigold Lembas Munster Wholefoods Queenswood Many Wholesalers Inter-trade CLF Distribution Pitman Agencies
National – Tree of Life, The Health Store, CLF Distribution Workers Co-operatives – Essential Trading, Infinity Foods, Suma, Green City, Highland, Lembas Religious Based – Goodness Foods, Community Foods Other Regional – Queenswood, Rainbow, Granary, Marigold, Good Food Distributors Wholesaler Categories
Supplements and Food Tree of Life The Health Store CLF Distribution Marigold (some mainly natural) Food or Supplements?
Supplements or Food? Foods Community Foods Queenswood Rainbow Granary Marigold Good Food Distributors Foods Essential Trading Infinity Foods Suma Green City Highland Lembas Goodness Foods
Listing Fees – most now charge a listing fee for inclusion in price books Promotional Activity – all wholesalers actively run promotional activity for which they charge Magazines – some have own magazines to support products Goody Bags – some will arrange sampling Wholesaler Cost of Entry
Wholesaler Benefits Instant access to shops though price books One delivery point per wholesaler One invoice point More financially sound than some stores Wholesaler Disadvantages Loss of Margin – although most wholesalers discount Loss of direct contact with stores Sale or return Wholesalers or Shops Direct?
One buyer – 566 stores! Multiple of the Health Sector High Margin Expectation compared to multiples due to distribution and volume costs Stock Trial – currently H & B look to the supplier for free of charge stock instead of listing fees!
One buyer – 566 stores! Committed to listing 500 new products per year Business split into 5 Zones for ranging varies by category Buyers only recommend products Trading Meetings decide on Listings
Health Sector benefits Great place to start ! – many brands have started here – Green & Black’s, Jordans etc Gives a brand Heritage and substance – selling in the Health Sector helps to maintain brand heritage First for New Trends – many trends start here Organic Fairtrade Free From But……. Difficult Transition for Multiple Based Brands
Brand Building in the Sector Allow Time to Grow – its not instant sales like the multiples! Be Innovative – new products not ‘me too’ PR – be active to drive customers to your products Talk to the shop owners – direct salesforce activity is the key Keep Promoting in Wholesalers – many independent stores buy products on deal! Keep ahead of the market Wholefood – Organic – Fairtrade – where next?
The Health Sector Products Most Importantly Know your Consumer!