Supply Chain Council of European Union | Scceu.org
Supply Chain Risk

Inflation, supply chain issues accelerating retail transformation

NutraIngredients-USA editor in chief Stephen Daniells pointed out to attendees at annual meeting of the United Natural Products Alliance that the dietary supplement industry has not had to deal with a combination of high inflation and high interest rates within the professional lives of almost all of the members of industry.  Daniells gave the keynote address which took place last week in Cannon Beach, OR.

Changing face of retail

Jim Emme, CEO of Now Health Group, said in a presentation on the retail end of the industry that the global pandemic has accelerated changes in the brick and mortar picture  that won’t be unwound.  The industry’s retail face is changing irrevocably.  Emme said NOW has a unique perspective in that it is both a supplement manufacturer and wholesaler as well as a retailer via the company’s 12-store Fruitful Yield chain, which is located in Chicago.

“Twelve years ago 85% of our business was with independent retail chains.  Last year it was 15%.  This year it is 12%,” ​he said.

Emme said that he anticipates tougher times ahead, as the industry grapples with ongoing supply chain issues, rising costs, and a hangover from the pandemic boom times.

“We’ve been spoiled the past couple of years.  We have been handed through an immense tragedy a group of consumers who had never given us a second glance before,” ​he said.

The pandemic brought changes to the global movement of goods of a sort that hasn’t been seen since the dark days of WW2.  Ships aren’t being sunk by U-boats, but they are stranded because of logjams in the ports, especially in China. 

Related posts

‘Hurricane scepticism’ divided along political lines

scceu

Nigeria signs MoU to create Intellectual Property Commercialisation Project

scceu

Southern Africa: Cyclone Season Flash Update No. 9 (24 February 2022) – Madagascar

scceu