Strong global demand for New Zealand exports has helped a Hawke’s Bay beauty and wellness company to a 150 per cent increase in revenue.
Adashiko chief executive Luci Firth said there was a “significant surge” in demand for natural wellness products during the Covid-19 pandemic, and New Zealand’s international reputation also helped.
“We are seeing substantial growth in the wellness market but also a trend where consumers are becoming more discerning and actually asking questions about the source of the products they consume,” Firth said.
“New Zealand’s international brand equity has been considerably fortified over this time through our visible efforts in controlling Covid-19 and this has had a halo effect on brands such as ours.”
* Coronavirus: Tourism operators keep heads above water through second Covid-19 wave, but hope of trans-Tasman bubble fades
* Unused airport land will be used for country’s biggest solar farm
* Housing market comes through second lockdown ‘with hardly a scratch’
The company was working with influencers, including Kiwi model Rachel Hunter, to spread awareness of the brand internationally.
Adashiko exported to more than 30 countries through its website, but it had stockists in Australia and the United States, two of its fastest growing markets.
The company did not export to China, but even without the country’s biggest trading partner, Firth’s company had seen a 150 per cent year-on-year growth in sales driven by exports.
Firth said Adashiko cracked the US market after being approached by a doctor in California.
“We have one US clinic run by a doctor who actually prescribes our products to her patients, she approached us having researched our collagen range and now sells more of our products per store than any other of our outlets,” Firth said.
The company’s revenue lifted more than 50 per cent when it reopened after the first lockdown, and exports now make up almost a third of its multi-million dollar turnover, compared to 20 per cent last year, she said.
This year Adashiko had also updated its packaging, replacing plastic with recycled glass and using packaging made of corn starch and bamboo.
“We have found that sustainable packaging was really a determining factor for a large part of the market, they want the product to be not just good for them but also for the environment,” Firth said.
Next on the cards for the business was the launch its collagen water RTD in October. .
Firth said the company had collaborated with another Hawke’s Bay-based company, Parkers, to create the beverage that had only two ingredients, water and collagen.
She said the beverage would be sold at supermarkets around the country and was in talks with restaurants and bars to stock the product.
“We’ve worked on it for quite some time and have nailed it. It’s going to be pretty impressive, I think. There’s nothing really like it on the market.”