New Items Create Sales Gains and Excitement in Non-Foods

Commentary From Our President

New Items Create Sales Gains and Excitement in Non-Foods

Michael D. Sleeper, Chief Executive Officer, Imperial Distributors, Inc.

New product launches have been scarce for non-foods over the past few years. Although line extensions with product enhancements have been significant, HBC has not seen new block-buster items, while GM has had winners in digital photo, compact fluorescent bulbs and a variety of new offerings within kitchen tools and gadgets, stationery, brush & broom and toys.

Line extensions may not have the power of big new product launches, but they are essential to building sales. For example, within the men’s shaving category one has to wonder how the category would be performing without Gillette’s new FusionProGlide or Schick’s new Hydro razor, or a number of new, low-priced disposable razors.

Perhaps the single most notable driver towards new item success in HBC, however, has been influenced by the aging population. From men and women’s hair color to foot care, and skin creams, to vitamins/supplements to stomach remedies and pain relievers–all have had meaningful line extensions aimed at meeting older consumer needs.

But perhaps the most positively affected category in this difficult economy has been the growth in cosmetics with healthy year-over year sales increases in food, drug and mass stores at a plus 8.9% in recent weeks and plus 4% over the past 52-weeks.

Oral Care, too, has seen several good new product line extensions, with disposable dental flosses, whitening agents in toothpaste and mouthwash and toothbrushes.

And of course, retailers can greatly influence the success of new items by taking a first-to market position and putting new products on display with strong promotional retails.

Research shows a 2-to-3 times sales lift over the first several weeks of consumption for those retailers who have displayed new items early towards the break date.

Finally, new items have always been the life blood of successful retailing and the benchmark for growth. New items stir categories, departments and in many ways the whole store. And certainly in non-foods, new items create excitement that generates sales gains, which are critical to our industry.

For comments or questions, contact us by phone at 508-756-5156, or e-mail: msleeper@imperialdistributors.com

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