A last message to all our existing and potential customers

After 18 years, Bioconcepts has decided following long deliberation and with great regret to wind the company down whilst it is still solvent. The ever-increasing squeezing of supplier margins and the pressure to fund expensive promotional offers by the large retail chains coupled with the cost of compliance with constantly changing EU Directives has made it virtually impossible for small specialised companies to remain viable. Please note that this decision was taken long before the ‘Credit Crunch’.

Over the last few years, the trend towards BOGOF (Buy One Get One Free) offers has become endemic within the UK retail trade and is generally regarded by the consumer as a generous and welcome gesture by the retailer chains to reward and encourage their customers. What the consumer does not appreciate is that these and, indeed, most incentive promotions are generally not funded by the retailer but by the supplier who carries the cost of the ‘free’ product, the cost of the promotional ‘contribution’ and, on occasion even, so-called ‘restitution of notional lost profit!’

Another common practice of the retail chains is to allow the supplier of a niche product to build the market and then to de-list the product and replace it with their ‘own brand’ product. On enquiring what has happened to the original product, the consumer is usually told that the supplier has ceased manufacturing.

The end result is not one of benefit to the supplier and, ultimately, not one of benefit to the consumer. The supplier can choose to grin and bear it and run the risk of eventually ‘going bust’. Alternatively, he can decide that he wishes to take no further part in this farce and retire gracefully from the fray whilst he is still ahead.

This latter is the choice we have taken. We know that many small, specialised companies are faced with the same dilemma and that some will take the same decision we have taken and others will soldier on running the risk of eventual financial disaster. Once again the consumer will suffer, as choice will become more and more restricted.
The only ones who will not suffer are the huge retail chains who will simply replace the missing branded specialised products with their own ‘in house’ and usually inferior substitutes.

To our thousands of faithful customers we offer our thanks for their loyalty over the years and our apologies for having had to take this decision. All we ask for from you is your understanding.

Brian Arstall
Executive Chairman, Bioconcepts Group