Now in its 35th year of orange juice production, Natalie's Orchid Island Juice Co. is looking for further growth opportunities.
The company, founded in 1989 by founder Mary Grace Sexton and named after her daughter, has come a long way since its origins as a 1,000-square-foot facility. Natalie's Juices started with orange and grapefruit juices, but now sells more than a dozen juices in flavors like blood orange elderberry and guava lemonade, as well as cocktails like margarita mixes, lemon juice, and lime juice. We also sell ingredients for mocktails. Natalie Sexton, who joined his family's company in 2012 as chief marketing officer, told Modern Retail that the business is on track to generate $140 million in revenue this year.
Natalie's is based in Florida but ships to 15 countries around the world. In the past year, Natalie's has expanded to more states in the U.S. (Arizona, California, Nevada, Oregon, Texas, Utah, Washington) and increased its presence in retail stores (now including Albertsons, Whole Foods, Publix, and more). (with stores in grocery stores) and has opened additional manufacturing facilities.
Natalie's is also stepping up its partnership marketing. Natalie's, for example, is bringing pop-ups and mobile juice stands to store, hotel, and resort markets along the East Coast this spring and summer to promote its new limited-edition juice collaboration with fashion company Lilly Pulitzer. Masu.
Natalie spoke to Modern Retail about working with Lilly Pulitzer, expanding the brand's product portfolio, and entering into retail partnerships. This interview has been edited for length and clarity.
We are currently in 15 countries and 42 states in the United States. How do you decide which markets to enter?
My father was a citrus grower and became involved in the actual production of juice. We also have international customers seeking fresh Florida orange juice because of its world-renowned quality. In order to provide them with products and services, we had to develop a fresh frozen line… and believe it or not, the quality was so phenomenal that it actually has grown to. Internationally, it was just something that came to us as an opportunity.
Now, when it comes to expanding across the United States, the East Coast is completely saturated, and the Southwest and West Coasts have incredible opportunities. This is a brand that is really in demand for a consumer segment that not only wants a more nostalgic flavor profile, but also a brand that is transparent about how their juice ingredients are produced.
The goal is to eventually be in all 50 states. This strategy has worked very well for our brand, and in some ways it has established us. What's unique is the fact that our business is split 50% retail and 50% food service. So when we expand into a new market, like Texas, for example, we not only partner with a major retailer like HEB, but we also partner with a major produce distributor so that we can serve both consumers and consumers. We are also looking to partner with the department. Other business.
We adopt that strategy in each market we enter. So in Arizona, Texas, Los Angeles, for example, we're planning to really saturate the market from both sides, both channels. Several retailers are currently making plans. I don't want to talk to them yet because I'm still talking to them.However, there are major retailers in both of these markets [retail and foodservice] We very much look forward to implementing it soon.
What are the factors behind the increase in sales? does it have that big of a footprint?
From 2018 to 2020, Mary Grace [Sexton] We've done a phenomenal job growing our sales and marketing teams and really built a strategy around those two departments to start building our brand. Then, obviously, Covid came along. However, growth continues to accelerate even after the coronavirus. It is expected to generate approximately $140 million in revenue this year.
At the end of the day, it's important to continue to invest in both your sales and marketing efforts and continue to find the right partners to help you build your brand. When I say partners, I mean retailers and distributors in each market. [retail and foodservice].
That foundation really helped accelerate the brand based on consumer trends that were actually happening. Consumers want real food. They are becoming more knowledgeable about the brands they buy and what those brands are doing in terms of processing approaches and the ingredients they source. And Natalie's is in the perfect position. We always joke that we were drinking juice before we were chic. And when that trend happened about eight or nine years ago now, we were in the perfect position.
What part of your business are juices and mixers? Do you have any plans for product expansion this year?
Our traditional instant juices account for 75% of our business. Our company has started evolving our mixer line, which accounts for 25% of our business. The reason is simply that there has been a long-standing demand for mixers that are more faithful to the ingredients. Mixers are typically shelf-stable, highly processed, and loaded with ingredients that contain artificial additives. And as a leader in producing quality products, it was natural to integrate.
Innovation is always something we are continuously researching and developing. We are planning to release a new product line towards the end of the year. But as to which category they fall into, that's probably all I can say right now.
You recently announced a collaboration with Lilly Pulitzer. How did this happen?
We've been collaborating on various aspects for probably seven years. Whether it's the product's participation in an event or a special campaign in which Natalie is included as a gift. We've had a really great relationship with them. And what really started it is our history in the Florida citrus industry.
Both businesses started in Florida. Lily had her own fresh juice stand. And as she was squeezing the juice, the juice splattered on her dress. I won't speak for their story, but the integration there ultimately led her to create a beautiful, vibrant clothing line. And Mary Grace remained in the citrus industry, continuing to produce world-class fresh juices.
Both have become beloved brands among their consumer and fan bases. I think what you can say about both Natalies and Lily is our history of female entrepreneurship. But more importantly, the fact that we've built a very loyal following and the synergy between our consumer and customer base is very aligned.
What other partnerships are in the pipeline?
One of the ways we're really trying to drive our marketing efforts and drive saturation in the foodservice space is by partnering with different liquor brands, and also chefs, throughout the year. [They] Learn how Natalie's is not only an amazing and nutritious ready-to-drink beverage, but also works as an excellent additive and ingredient, allowing your creations to shine from both mixology and culinary endeavors. Shown below. Waterman Spirits Vodka is one of his recent collaborations, and one of his long-time Tequila partners has been Tanteo.
