Two of the company’s supplements – Arborvitae Joint Health and Arborvitae Health and Wellbeing Supplement (blood sugar and cholesterol) – will be available at all TerryWhite Chemmart stores. The pharmacy chain has over 450 stores across Australia.
Prior to the agreement, Arborvitae’s products were available in approximately 130 TerryWhite Chemmart stores, which are mostly the largest stores. The new agreement also allows its products to be sold in community pharmacies.
“We released the clinical trial results of our joint health product last year and more and more retailers asked to stock our product. I guess we had some sort of surge in demand because of that “, Brendan Howell, director of Arborvitae Health and Wellbeing, said NutraIngredients-Asia.
the 12 week clinical studyfound that the joint health product may increase walking distance, reduce blood oxidative stress and reduce rescue medication use in people with knee osteoarthritis. The results were also published on the company’s website.
The active ingredients used in the product include Pycnogenol brand French maritime pine bark extract, as well as aloe vera, papain enzyme and honey.
In total, the product is stocked in nearly 1,200 stores, including Blooms The Chemist, Mr Vitamins, Priceline Pharmacy and Optimal Pharmacy Plus.
In fact, the joint health product is the biggest contributor to the company’s sales.
Howell said total revenue increased by 35% between June 2020 and June this year, with 75% of sales coming from the joint health product.
From online to offline
Contrary to the trend of going online these days, the brand has shifted its focus from online to offline.
The brand started in 2014 and only sold its products online. However, it then caught the interest of health food stores and pharmacies and ventured into offline channels from there.
In 2016, he worked with his first offline retail partner – a Priceline Pharmacy store in Sydney.
The focus on offline retail was primarily because its main consumers were middle-aged groups and seniors, Howell explained.
“It’s people in their 50s who buy the joint health product. They may have played sports in the past and some have suffered from osteoarthritis as a result.
“Similarly, it is also people aged 50 and over with high cholesterol, blood sugar and pre-diabetics who buy the health and wellness supplement.
“These consumers love walking into pharmacies and talking with pharmacists.”
The next goal is to expand its retail presence to 1,500 stores by the end of the year, despite the spread of COVID-19 resulting in movement restrictions.
“We are fortunate that our products are sold in health food stores and pharmacies and there has been no drop in sales as these stores are still operating even in an emergency.”
With respect to online products, products are sold on the Company’s website and on eBay and shipped to Australia and New Zealand. He said online sales increased slightly.
Overseas, the company concentrates its efforts in Vietnam and Japan by exporting its dietary supplement for the joints.
“We have a partner in Vietnam and we have been working with him for 18 months. Right now, we are sending out small trial volumes to hospitals and doctors.
“The [exports to Vietnam] had slowed down due to COVID-19 and we expect this to accelerate towards the end of this year,” Howell said.