Holla-Fresh Pty. Ltd. (HF), is located at Whites Road, Tantanoola, South Australia and is currently owned in a partnership by brothers, Ian and Mark Lines. The Lines brothers established the business in 1993 and began by creating their own markets. HF has since grown into an independent and flourishing private company with strong affiliations with supermarkets around Australia and has over 60 employees. HF’s ongoing success is evident through its expansions and consistent quality of culinary herbs supplied to major markets all year. Although HF do not have a mission statement they have been recognised as an award winning herb grower of South Australia. Winning awards from Advantage SA in the Innovation Category, Food Category, and became a
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However as clarified by Ian Lines, “location only has a limited effect, the main impact is the cost of transport.” The way HF have acted upon this impact is by purchasing their own trucks for the transporting of their herbs. This cuts the costs of hiring transport companies and allows them to have full control over the transportation …show more content…
In the beginning Ian and Mark had found and took advantage of a gap in the fresh food market and introduced themselves into quite a niche category, consequently to this their competition is quite minimal. One competitive factor that effects them is the competition between retailers or supermarkets, an example of this is the duopoly between Coles and Woolworths. The two supermarket giants are in a constant war, competing with both facilities and prices. As their prices become increasingly competitive the profits of which the growers gain significantly decrease. The supply and demand for each of the products is also a factor, whether it be that the retailer has no demand or that the supplier is unable to supply due to bad batches or seasonal issues. The most prominent issue regarding competitors which HF faces is competition from overseas growers. Overseas growers are able to make the herbs at a lower cost and this results to a cheaper product, however, overseas growers face many limitations affecting their span worldwide. The limitations that these growers face, shown in Figure 12, include the lifespan and quality of the product HF sells fresh herbs, both living and pre-cut, when considering importing from overseas, growers would need to distribute their product through quarantine, this is a lengthy process and the product could
However as clarified by Ian Lines, “location only has a limited effect, the main impact is the cost of transport.” The way HF have acted upon this impact is by purchasing their own trucks for the transporting of their herbs. This cuts the costs of hiring transport companies and allows them to have full control over the transportation …show more content…
In the beginning Ian and Mark had found and took advantage of a gap in the fresh food market and introduced themselves into quite a niche category, consequently to this their competition is quite minimal. One competitive factor that effects them is the competition between retailers or supermarkets, an example of this is the duopoly between Coles and Woolworths. The two supermarket giants are in a constant war, competing with both facilities and prices. As their prices become increasingly competitive the profits of which the growers gain significantly decrease. The supply and demand for each of the products is also a factor, whether it be that the retailer has no demand or that the supplier is unable to supply due to bad batches or seasonal issues. The most prominent issue regarding competitors which HF faces is competition from overseas growers. Overseas growers are able to make the herbs at a lower cost and this results to a cheaper product, however, overseas growers face many limitations affecting their span worldwide. The limitations that these growers face, shown in Figure 12, include the lifespan and quality of the product HF sells fresh herbs, both living and pre-cut, when considering importing from overseas, growers would need to distribute their product through quarantine, this is a lengthy process and the product could