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Supply Chain Shortfalls

Managing Through Supply Chain Shortfalls

by Terry Lemerond | February 22, 2022

For about the last two years, retail has struggled with lockdowns, staff shortages and supply chain problems. Health food stores have dealt with these issues just as everyone else has. From the manufacturer’s side, raw materials may be tough to find because harvests are low, plastic bottles are in high demand or desiccant packets (that protect supplements from moisture damage) simply can’t be found. At the retailer level, supply chain issues can mean empty shelves, late product deliveries and customers wondering when their favorite products—ones they’ve relied on for years—will be back in stock.

These circumstances can really be “hit or miss” situations, as there’s only so much you can control. However, there are a few strategies—and you’ve probably utilized some of them already—that can help you navigate through these supply chain shortfalls.

Order more top products than you think you will need and promote those products relentlessly. If you can get a product with solid research behind it (and back it up from a company with a good track record), get it into your store as soon as you can. If you have twice as much of that item, advertise it in every medium—your local paper, radio station and social media platforms.

Let your customers know that you have the supplements they’re looking for, which shows you’ve anticipated their needs.

Be ready to explain product shortfalls to customers and thank them for their understanding. This is when your customer service skills and your team’s ability to weather a variety of storms will come in handy. People will complain when their favorite products aren’t available—that’s perfectly natural. But your response, rather than a reaction, will determine which of these customers return to your store when out-of-stock items are available again. Again, this is when having top-notch, talented team members who are experts at working with customers is truly a lifesaver.

Develop a very close relationship with your vendors. If you haven’t already, building a solid relationship with the companies you represent in your store can be a key to knowing their timetables for product availability and which alternative formulas to recommend in the meantime. This is when working with manufacturers who truly value retail health food stores can come in handy—you can trust that they will work with you to get top sellers into your store as soon as possible.

Create product displays that “stretch” the products you have. The idea of filling in the gaps on shelves with creative product displays has been a reality throughout much of the retail world in past couple of years. If you’re fortunate enough to have a lot of one particular product or product line, feature them along with other related items you stock. For example, pain-relieving supplements could easily be displayed along with whey proteins, workout-focused accessories and even books that address natural inflammation or exercise regimens. There’s an old marketing saying—“if you can’t fix it, feature it”—and I think that may hold true for many retailers in terms of in-stock items today.

Continue to offer curbside pickup or delivery whenever possible. It’s very likely that some of your customers became big fans of those options during the initial business lockdowns, and it may be a deciding factor now between them simply ordering products from a stranger online or sticking with a local business that they know and trust.

I don’t think there’s a day that goes by that we don’t hear something in the news regarding supply chain issues and retail operations having empty spaces on shelves. Right now, that’s the sea we’re all swimming in. And there are certainly going to be more disruptions in the near future. It can get frustrating and stressful—believe me, I understand that completely. But I’m equally certain that with the right attitude, team training and creative strategies, we’ll ultimately come through this much stronger and even more able to meet customer needs than ever before. VR

A highly regarded leader in the natural products industry, Terry Lemerond is founder and president of EuroPharma, Inc. He also founded Enzymatic Therapy, Inc. and PhytoPharmica, Inc. and is currently owner of the Terry Naturally Health Food Stores in Green Bay & Suamico, WI, which recently won its eighth consecutive consumer choice award as “Best of the Bay.” With more than 50 years in the natural products industry, Lemerond has researched and developed more than 400 nutritional and botanical formulations that continue to be top-selling products in the market. Lemerond shares his wealth of experience and knowledge in health and nutrition through his educational programs, including a weekly radio show and newsletter, podcasts, webinars, and personal speaking engagements. He is author of 13 books, including Seven Keys to Vibrant Health, Seven Keys to Unlimited Personal Achievement and 50+ Natural Health Secrets.

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