Member Article

Quorn sees record growth as US sales grow 25%

North Yorkshire vegetarian food supplier Quorn has announced its strongest ever growth in 2014 reportedly attracting 2 million more customers than the previous year as like-for-like sales in the US grow 25%.

Quorn reported a 7% growth in total sales to £150 million over the last 12 months (the first time in the company’s 30 year history) with the company planning to expand into at least one new international market in 2015 as it looks to build on current momentum.

UK sales grew by 10%, with each quarter outperforming the last throughout the year showing sustained momentum but the firm has reported that exports now account for 19% of Quorn’s overall revenue.

Much of this growth is down to Quorn creating its own stateside team at the beginning of 2014 in order to improve its access to the major distributors.

Subsequently, the company has seen a massive lift in trading, ending the year with 30% more distribution than it started with.

After an initial trial with Wal-Mart, the company has now quadrupled its distribution with the retail giant to the point where its products are now available in 2,300 stores across the country.

he company has also seen double-digit distribution growth over the last 12 months in other major US retailers, including Kroger and Meijer.

Quorn expects its US business to grow by 30% annually, with the aim of building a stateside operation four times its current size by 2019.

As well as the US, the company is seeing sustained sales growth all over the world, as more non-vegetarians than ever before (75%) are buying its products.

It was a record year for sales in Germany, with a like-for-like increase of 49.5% and Quorn also saw an 8.4% increase in like-for-like sales in Switzerland

Kevin Brennan, chief executive of Quorn, said: “2014 was the year when we really started to realise Quorn’s potential for growth all over the world. For the first time in the company’s history, we achieved sales of over £150 million, with sustained growth in all of the 15 countries we directly export to.

“What’s more, an increasing number of carnivores are buying into our brand with non-vegetarians now accounting for three-quarters of our customer base.

“Over the last two years we’ve seen sales grow in the UK by 20% and we expect to sustain this momentum as people rethink their meat eating habits and explore healthy and sustainable protein alternatives such as Quorn.

“Clearly the US is a market that offers massive potential for growth and, on the back of an extremely positive 2014 which culminated in like-for-like sales growth of 88% in December, we’re aiming to create a stateside operation four times its current size by 2019.

“Following successful launches in Germany, Finland and Denmark last year, we’re also looking to expand into at least one new market in 2015 as we strive to create a $1 billion business, four to five times its current size. After last year, we really are generating momentum towards this goal.”

To fuel further growth and sustain sales momentum, Quorn is currently investing £30 million to double its production capacity at its production site in Billingham, near Middlesbrough, creating up to 400 new jobs in the process.

The company is also continuing to invest millions of pounds into new product development, ensuring its range of products continues to grow to meet the needs and tastes of a global audience.

This was posted in Bdaily's Members' News section by Clare Burnett .