Xmas comes early for Nutritional Growth Solutions as US sales accelerate after giant Walmart deal
Health & Biotech
Health & Biotech
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With its niche health products on shelves around the country for the US retail season, Liron Fendell, the CEO of locally-listed Nutritional Growth Solutions (ASX:NGS) has given Stockhead an early Christmas update on the landmark deal with US retail giant, Walmart.
Liron says that since launching in September, the global nutrition company’s flagship Kidz Protein products are now available and selling in some 400 Walmart stores across the United States.
Fendell told Stockhead that the company – which creates scientifically formulated and clinically proven supplements to support growth development in children – has been tracking increases in both dollar terms and unit terms for every week as customers recognise Kidz Protein products on Walmart shelves.
“Wholesale sales to Walmart physical stores have more than doubled between October and November,” Fendell said.
And online traction over on Walmart.com, have seen sales double – month-over-month since the September 22 launch.
“Naturally, we’re delighted to see the NGS brand available and moving off the shelves in our 409 Walmart stores, with two of our Kidz Protein items.
“In the first eight weeks our Walmart team have been physically arranging the products on the shelves, and now we are over 95% in-stock, which is beginning to make contributions to our sales growth in Walmart.
“We continue to see increases in both dollars and unit velocity each week and expect them to continue at a higher pace now that we are in stock at 95% or better in the stores.
“As of the first week in December, our sales performance has been higher than anticipated, led by high sales velocity in roughly 35% of our allocated doors.”
Fendell says NGS is now utilising this performance data to evaluate and test various creative and advertising programs in “high performing doors that we can deploy to boost sales and continue growth.”
“With continued performance and subtle improvements, we expect to see increased store counts and for personal use only expanded distribution with Walmart in the future,” Fendell said.
She says Nutritional Growth Solutions’ goals will continue to support sales efforts with Walmart and demonstrate continued growth.
With that comes the potential for more distribution along with more items in more categories as the company’s Healthy Heights brand develops history and demand for an array of products.
“Leveraging our gains with Walmart becomes an important tool we use to gain distribution in other retailers in the US, with numerous discussions at an advanced stage.”
This article was developed in collaboration with Nutritional Growth Solutions (ASX:NGS), a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.