MegaFood commits to natural retailers with new initiativesMegaFood commits to natural retailers with new initiatives
MegaFood institutes pricing control, inventory assistance, and new product exposure to combat mass slippage; new online community will help natural retailers reengage with customers.
September 22, 2014
MegaFood®, a leading whole food supplement producer and champion of the natural retailer, announced at Natural Products Expo East its plans to institute programs that will help natural retailers combat flat sales by helping them reconnect with consumers.
MegaFood is launching a series of company initiatives aimed at strengthening the natural products industry in order to combat “mass slippage”—a term used to describe the growing trend of consumers buying natural products from mass merchandisers like grocery, club and drug stores instead of at natural retailer locations. The new program includes steps such as controlling the pricing of MegaFood products across all channels to ensure a fair and equitable representation of the product, ensuring retailers get the inventory they need, and making it easier for retailers to grow with new products. Additionally, MegaFood continues its dedication to building a strong natural retailer and consumer community by offering unique educational in-store workshops and programs.
“There is definitely a growing demand from consumers for natural products, but with more and more of these products appearing on shelves of mass retailers, it’s putting a strain on specialty health food stores and local natural retailers,” said Robert U. Craven, CEO of MegaFood. “This mass slippage trend can be a disservice to the customer, because these mass retailers aren’t equipped to provide needed education on the products, or make qualified recommendations. With these new initiatives, MegaFood is working to help natural retailers refocus their strategies and give them the tools needed to connect with customers and showcase the value they bring to the table.”
According to the Wall Street Journal, in 1998, natural and specialty retailers made up 74 percent of the then $6 billion natural and organic grocery sales market. In 2012, that number slipped to 38 percent of a rapidly growing $48 billion market. Recent data from SPINS suggests that the natural retailer market is experiencing flat to negative growth in 2014.
MegaFood believes that natural retailers are critical to supporting health and wellness in their communities and play a pivotal role in supporting the natural foods and supplements market. To help combat this “mass slippage”, effective immediately, MegaFood will:
Offer customers free shipping on all natural retail orders with no minimum
Double efforts to support fair pricing across all channels, including the internet
In addition to this behind-the-scenes work, MegaFood has also created a new online community for natural retailers to come together, make connections, and share ideas. MegaFood will moderate this online forum, and will facilitate practical and tactical approaches that will help engage customers and retailers in a deeper way. You can learn more at megafood.com/massslippage.
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