Iba first launched its Bouchard household product range in the UK in 1999, and since then its innovative, distinctively packaged and added-value positioning have proved popular with growing numbers of British consumers.
Now Iba (pronounced 'ee-ber'), the UK subsidiary of the French-based, privately owned Iba Group, is to re-brand its Bouchard range as "Iba," in line with the rest of its operations elsewhere, creating a single global identity. Stuart Anderson, Iba's Group Marketing Director and Managing Director of Iba UK, spoke to The Grocery Trader.
The Grocery Trader - First of all, how big in value terms is the Bouchard brand in retail in the UK?
Over the last six years the Iba brands in the UK have grown to achieve a market share of approximately 5% and an annual turnover of £8 million, which has been no mean achievement in the relatively short time period.
GT - What retail products does it offer? How many SKU's are there altogether? Which Bouchard products are the biggest sellers in the UK?
The UK range consists of 4 main areas; Air Freshening, Problem Solving, Insecticides and Specific Task Wipes categories. We also have a budget value range called "Bouchard Essentials." All in all, we have around 35 products.
Our Fridge care range and specific Task Wipes ranges are very popular mainly due to their effectiveness. Liquid Room Freshener and New Gel Ball air fresheners continue to grow strongly.
GT - Can you identify which consumers are currently buying Bouchard products?
The Iba consumer is someone who is looking for quick and effective results from the products. They also expect great value, superb quality, innovative solutions for the home and eye-catching designs. These elements allow us to stand out as being different.
In keeping with the category profile, the main Iba consumers are women aged between 25-50, although we seem to have a growing following of students and pensioners!
GT - When will you start rolling out the first Iba-branded products? Which Bouchard lines will be re-branded first? Will any current Bouchard lines be dropped, and not re-branded? How long will it take to re-brand the whole UK range?
The new Iba brand rollout has started to feed through into stores, so watch out for all our product range sporting the new Iba logo. We have started the re-branding work with all our products with the exception of our budget range, which will sport the new Bouchard Essentials logo. We anticipate the rollout taking place over the next six months, when the transition should be complete. We are introducing some dynamic new lines this year too, and the team is very excited by the NPD program that lies ahead.
GT - Can you sum up the Iba brand proposition? For the consumer, what's your point of difference against other manufacturers?
The Iba brand stands for everything that is "good" and "new," which is a direct translation of the word Iba [which has its origin in the Philippines.] We strive to ensure that our products always offer the consumer that little bit extra. We are continually developing new products that can only enhance the time spent doing household chores, to make life a little easier and to make our homes a more comfortable environment.
We set ourselves apart from our competitors by looking for niche gaps in the market that our products fulfill and which can become indispensable goods for the consumer. We also try wherever possible to use natural ingredients in our formulations.
Innovation and the art of being different has been a major aspect of our success. We innovate for a purpose: to pleasure the senses, solve the household problems, bring convenience, add safety and deliver value.
GT - Why are retailers buying household products from Iba, as opposed to other suppliers?
The Iba range is niche, concise and attractive in terms of retail selling prices and design. It is also very complementary with other category suppliers' products. The products are also viable commercial propositions for the trade buyer and a satisfying purchase for the consumer. Our range further helps our trade customers differentiate themselves from their competitors without the risks associated with private label programs.
The harmonising of our brand across Europe will further allow us opportunities to support the IBA brand in the UK and in the development of the relationship with our consumers. This can only be more reassuring to our valued trade customers.
GT - Do you offer any products that are environmentally friendly or contain naturally occurring ingredients, or both? If not, do you plan to?
Iba always looks to incorporate natural ingredients wherever possible. As a company we are committed to looking at using naturals, and we are currently developing a new range with a more emphatically natural position, which we hope to launch later this year. Watch this space!
GT - Who owns the Iba Group, and how big is it in global turnover? How many countries are Iba household products sold in? How important is the UK as a market to your company?
The Iba Group is a privately owned company with its head office in Paris, France, with an annual turnover of around Û35million. Our main markets are France, the UK, Spain, Italy and the United States. The UK market is extremely important for the Iba brand and the company as a whole. We are always looking at new markets too, including Eastern Europe, the Middle East and the Far East, for possible business development.
GT - Where are you based in the UK? Where are the Iba products made? Do you export from the UK to other countries?
The Iba office in the UK is located in the heart of Nottingham. All our products are conceived, developed and commissioned in Paris. They are then literally manufactured all over the world, but mainly in Europe and Asia. We also export to Ireland, Hungary, Malta, Africa, the Middle East and New Zealand.
GT - Which UK retail outlets are your products currently stocked in?
We have our products stocked in retailers like Asda, Tesco, Waitrose and Morrisons. Traditionally though in the UK, we have gained distribution elsewhere with retailers like Wilkinsons, Superdrug and JLP and worked closely with these types of accounts to ensure they carry the right product offer for their customers. The grocery sector is however very important to us to be able to reach the maximum number of consumers and as we develop as a company and a brand we aim to significantly grow our business with the grocery sector.
GT - How do you handle distribution in the UK?
We have a long established relationship with Eddie Stobart, whom we have used for our distribution services for many years. They allow us to stay focused on what we do best!
GT - Do you also supply retailer private label? How is this side of your business doing?
We do not deal in the development of private label goods. We have worked tirelessly in developing the company and the brands over the past six years, and will continue to do so to achieve the maximum brand presence that we can.
GT - Besides re-branding the Bouchard retail products as Iba, what else are you doing to strengthen your business?
Recently we have made some key appointments both in the UK and Paris, at our Head Office, to strengthen our senior management team. We have a lot of experience within the business and the right team to really push the brand and the company forward towards the next level in our evolution.
GT - NPD and innovation are crucial to building and maintaining trade and consumer interest in household products. Any plans for launching new products in 2006?
We are planning 12 new products for 2006, which we are very excited about. These will strengthen our portfolio for our trade customers and ensure our consumers get even better choice when they are shopping. We are increasing our presence in the retail sector, which can only mean higher profile recognition of the brand.
GT - What advertising and other above-the-line activity have you got planned for this year? What about the internet?
We are looking very closely at our program of promotional activity. Having the same brand in all countries will allow us much more interchangeability and the scope to be faster reacting in terms of our advertising and communication efforts. We, like many companies, are looking for better returns on our promotional activities for both ourselves and our trade customers.
The internet too is an important vehicle to exploit. Exposure will stem initially from the launch of the new Iba Group web site later this year and will be integrated fully in our activity planning.
GT - What do you see as the biggest external factors facing the household category?
I expect further polarisation of the distribution, the impact of the arrival of P&G into the category and the introduction of even more European product legislation.
GT - Finally, where do you see Iba in three years' time?
With the new Iba brand, awareness and recognition should increase, making the brand more internationally recognisable. Through new product introductions and widening our distribution channels, we hope to see the Iba brand become a brand of choice for customers and consumers alike.
By continuing to attract, satisfy and then delight, we will retain our very loyal customers and attract, with increasing effect, new customers. If we remain focused on these objectives, the growth and market share will take care of themselves!
Iba UK Ltd Rachel House, 8 Castle Quays, Castle Boulevard, Nottingham NG7 1FW UK Tel: 0115 911 9777 Fax: 0115 911 9778