Case Study – GKI Foods
The Challenge
Increase product sell-through to GKI's customers—major retail, grocery, and convenience stores.
Background
GKI Foods, founded in 1972 by husband and wife Chuck and Sue Wilts, initially offered top-quality, natural granola products for local Ann Arbor residents. Since their modest beginnings, the company has grown into a major candy and granola manufacturer. Now situated north of Ann Arbor, near Brighton, Michigan, GKI boasts a 66,000-square-foot plant capable of producing 30,000 pounds of chocolate confections and several tons of granola a day. But like any progressive company, they wanted to continue to expand their product line and move into new markets. Much of their business comes from private labeled candies produced for major distributors such as Target, so that was an area that continued to offer opportunity for growth. They also wanted to develop and market their own products under their own labels.
Beginnings
GKI originally contacted us when they needed a logo design and package for a line of upscale boxed chocolates to be sold under a brand they created called Silver Lake Chocolates. They were good at selling, but up until that point their product labels were generally text-only designs created in-house, which they presented to buyers along with a sample of the chocolates or granola they were pitching. Since they had never worked with a creative firm before, they were dipping their toes into new water (or chocolate syrup), so to speak. GKI knew that they manufactured outstanding confections, but they also realized that if their sales presentations were more consistent with the quality of their products, they might experience increased sales.
Implementation
We went to work and developed several label designs for GKI's consideration. We knew we were on the right track when they couldn't choose which design they liked best. Better still, their presentation to a major drugstore chain was a huge success. The positive reception from their buyer confirmed to them that a great product plus a professional package design offered a more compelling presentation and an enhanced perception of value of their products, which GKI knew would lead to more sales.
Brand Building
From then on, working with General Manager Jim Frazier, we created packaging prototypes for all GKI's sales presentations, and the company found that not only were they getting a more receptive buyer, but they were being invited back to show additional lines. Soon their customers were asking GKI for a total solution—candy and packaging. This additional interest led to the creation of new brands and sub brands (brands within brands). Packaging took on many different configurations including flat rectangular boxes, octagons, handled gabled boxes, hang tags for bagged products, and foil boxes and bags. Interest continued to grow and before long, doors opened into big box stores such as Sam's Club and Costco.
Hile's relationship with GKI continues, and along with packaging we have provided additional advertising services, including designing a corporate brochure and sales sheets, both of which serve as effective customer leave-behinds, and trade show booth graphics for the international Candy Expo in Chicago.
The Bottom Line
In the six years since we began working for GKI, their sales have increased 40 percent. The company has expanded its manufacturing capabilities to include new creative items like wine infused chocolates, Kona coffee bits and candies with probiotics. And they continue to forge new relationships with enthusiastic buyers including Costco, CVS, Kroger, RiteAid, Safeway, Sam's Club, Stop&Shop, Walgreens, Walmart and others. Now that's what we call sweet!
