Case Study: Glenilen Farm

Instead of lowering their expectations during the tough times, dairy products producer Glenilen Farm is aiming for a 10 per cent increase in sales

IN TIMES of recession companies are advised to spend on essentials only. Launching a brand new corporate identity hardly fits this criteria but artisan dairy products producer, Glenilen Farm, has recently done just that as part of its drive to increase sales.

“We chose now for a few reasons including a desire to get more shelf space,” says the company’s commercial manager, Avril Twomey. “Our target is to increase sales by around 10 per cent this year and, because we don’t have a big advertising and marketing budget, shelf space is very important to us. The new logo and packaging reflects the naturalness of the product range as well as improving our on-shelf presence through simple designs.”

Glenilen Farm was established by husband and wife Richard and Valerie Kingston in 1997 on their diary farm in Drimoleague, west Cork. Their initial products were yogurt and soft cheese sold at farmers’ markets. However the couple quickly realised that growing the business in any significant way would require a move into the mainstream retail food sector.

Glenilen’s products are now available throughout Ireland in over 200 independent supermarkets and specialist food shops. They are also listed by Dunnes Stores and Musgraves, and by Tesco since last November. “The Tesco listing has increased the availability of our product in pockets of Ireland that we do not reach ourselves with our own distribution – the benefits of central distribution,” says Twomey.

Glenilen had a turnover in the order of €1.5 million in its last financial year and is hoping to build sales through expanding into the UK market later in 2009. “We’ve been taking part in a Bord Bia initiative that helps small companies get set up to export,” says Twomey. “All going well we will test the water later in the year. The programme was very helpful as it puts you in touch with mentors and ex-UK retail buyers who coach you through the process.”

The company is also hoping to generate additional sales at home with the launch of three new products including a crème fraiche and large compote yogurts aimed at families. The Glenilen range has grown considerably over the last 10 years and now includes mousses, butter, clotted cream, cheesecakes, sundaes and fromage frais.

Twomey says the current sales environment is challenging but that Glenilen is perceived as an innovative brand and that new products are always of interest to buyers. “We are backing our new logo with increased promotional activity including more in-store samplings,” she says.

“Our USP is the authentic taste of our product (now reinforced by the new packaging) and the best way to prove this is by letting people try it.”