For most natural food brands, growing their wholesale business through direct shipments, brokers and distributors is typically job #1. Retail sales in the natural and conventional grocery channels has been the most successful way to get your product into consumers hands and mouths.
The challenge has always been “Can we make a profit doing that?” The cost of doing in store product demos along with slotting fees, free fills and required ad spend make it difficult for emerging brands to make a profit while scaling their business.
The times they are a changing….
With Amazon’s purchase of Whole Foods and aggressive marketing of programs like Amazon Fresh, Amazon Pantry and Prime Now, consumers are becoming more receptive to incorporating online purchasing into their food buying habits. Amazon’s satisfaction guarantee removes the greatest fear most consumers have for ordering online… receiving poor quality products and being stuck for the cost.
Check out how a rapidly growing Colorado snack brand is shifting their sales focus from retail to online, primarily through Amazon, and increased their sales and profitability significantly