Duchy Originals, the organic food brand established by Prince Charles, is set to remove a third of its lines in order to focus on an ambitious growth strategy.
In an exclusive interview with The Grocer, chief executive Andrew Baker said Duchy planned to reduce the range from 300 to just 200 SKUs in the next 12 months. This would allow it to focus on its better-selling products as he worked to grow retail sales from £50m to £200m in the next five years, he said.
"In the past we have tended to proliferate rather than refresh our products," said Baker, who joined in September. "You have to have strong NPD but at the same time you have to pull out underperforming lines or you will dilute the value of your earnings."
The Grocer first revealed Duchy was set for a range rationalisation in February, as well as transferring the marketing of most products to its producer partners. He confirmed Duchy would continue to carry out this function for small suppliers without marketing expertise or experience of dealing with the big multiples.
Duchy would improve packaging to make it eco-friendly and better communicate brand values, he said, and there would also be a greater focus on local sourcing, which he admitted had been a weakness in the past.
Duchy is also gearing up for international expansion targeting the US and India. Baker said the US organic food market was four times the size of the UK. "We will begin seeding the market with products at the end of the year to improve brand awareness," he said.