What a great event. I spent the last few days connecting with old friends and making new ones. The Organic Summit turned out to be a truly special gathering of the organic industry core constituents.

The 10th Annual NBJ/Newport Summit is just 5 weeks away. It takes place on July 18 - 20 at the St. Regis Resort in Dana Point/Monarch Beach, CA, and the current attendee list is filled with impressive industry entrepeneurs, investors, thought leaders and CEOs.

The elite networking that The NBJ/Newport Summit affords is truly one of a kind. By allowing CEOs and industry thought leaders to come together and get away from the day-to-day, The NBJ/Newport Summit stimulates the “”strategic conversation”" that every CEO must have to thrive in our competitive marketplace.

10 years ago, I attended the first Newport Summit in Newport, RI. It was a great event in a fast growing industry. Competitors shared cocktails, the seeds of joint ventures were planted and a great time sailing was had by all.

This year, the attendee list once again proves that there’s no other place to network in the nutrition industry like The NBJ/Newport Summit.

Those attending, speaking or sponsoring the event include:

Anthony Alamada, President/CEO, IMAGINutrition
Dupuis Angers, President, Dupuis Angers & Associates Inc.
Tim Avila, President, Zsweet
Dennis Ayo, Senior Vice President, MTS Medication Technologies
Elliott Balbert, Executive Chairman, Natrol, Inc.
Justin Banner, VP Corporate Strategy, Xango, LLC
David Barnes, Director, R&D, Standard Process, Inc.
Brad Barnhorn, Chief Executive Officer, Global Nutrifoods
Heather Bellamy, Vice President, Flying Horse Communication
Ryan Benn, CEO, Renaissance Herbs, Inc
Michael Bentley, CEO, Sierra Mountain Minerals Inc.
Debbie Blockinger, Sr. Manager Public Affairs, Xango
Mark Blumenthal, Executive Director, American Botanical Council
Wayne Bos, President, CEO, Natrol, Inc.
Dave Boyd, Director Of Global Operations, Pure Fruit Technologies
Mark Braman, President and CEO, Efficas, Inc.
Thomas Brancato, NAFTA Head of Sales & Marketing, Nutrition, Lonza
Barbara Brueckner, Innovation Manager, Mattson
Ramona Cappello, President & CEO, Corazonas Foods, Inc.
Barry Charnay, VP Marketing & Sales, Bioneutra Inc.
Robert Craven, President, New Organic Ventures
Michael Degennaro, Global Head of Food & Nutrition, Lonza
Paul Dijkstra, Executive Vice-President, Interhealth Nutraceuticals, Inc.
Elise Donahue, CEO, Airborne
Robert Duggan, MA, Mac, Tai Sophia Institute
Stewart Emery, Co-author Success Built To Last/Founder Belvedere Consultants
Ephi Eyal, President, IFP, Inc.
David Foreman, President, Herbal Phamacist Media
Scott Forsberg, Director of Bioactive Science, A. M. Todd Botanical Therapeutics
Bob Freeze, VP Public Relations, Xango
Marco Galante, Principal, J H Chapman Group LLC
Leslie Gallacher, Dir. New Market Development, Xango
Wayne Geilman, Senior Researcher, Pure Fruit Technologies
Gilbert Gluck, President, Cyvex Nutrition, Inc.
Mike Gold, CEO, Flying Horse Communication
Lisa Goold, President/CEO, Reddrox
Robert Guthrie, VP, CRS Division, KGK Synergize Inc.
Najla Guthrie, President/CEO, KGK Synergize Inc.
Jennifer Haberman, Technical Key Account Manager, Lipid Nutrition
Peter Hafermann, President, Aloecorp, Inc.
Hope Hale, Sr. Marketing Manager, Omegapure
Derek Hall, Vice Chairman And CEO, Econet, Inc.
Jim Hamilton, VP, Human Nutrition & Health, DSM Nutritional Products, Inc.
Bruce Harvey, Western Regional Manager, DSM Nutritional Products, Inc.
Melody Harwood, Senior Scientist, CANTOX Health Sciences
Steve Hatchett, President, Cornerstone Research & Development
Peter Hefele, Senior VP Business Development, Vitaquest/Garden State
Dr. Robert Hesslink, Director of Research and Development, Imagenetix
Clyde Higgs, VP, Business Development, North Carolina Research Campus
Jeff Hilton, President/CMO, Integrated Marketing Group
Karen Hilton, IMG
Thomas J. Hoolihan, EVP & General Counsel, Econet, Inc
Elzaphan Hotam, VP Business Development, Enzymotec
Loren Israelsen, CEO, LDI Group, Inc.
Michael Jeffers, Vice President, JLM Chemicals, Inc.
Jim Jordan, Executive VP Operations, Pharmavite Corp
Rick Kaiser, Vice President Sales, Bioriginal Food & Science Corp
Don Kim, President & CEO, Unigen, Inc.
Bob King, CEO, A. M. Todd Botanical Therapeutics
Larry Kolb, President, US Operation, Technical Sourcing International
Jim Krejci, CEO, Lifevantage Company
Rick Kroetsch, Consultant, Alive Publishing Group Inc.
David Lakey, President, Bergstrom Nutrition
Joe Laplaca, Senior Vice President, DSM Nutritional Products, Inc.
Brad Larson, Marketing and Business Development Manager, Capsugel
Charlene Lee, EVP and General Manager, Cyvex Nutrition, Inc.
Jay Lee, President, Beijing Gingko Group, North America
Rob Leighton, CEO/President, Thompson Brands/Adona
Nicole Lemus, Director of Sales, Century Foods - Hormel
Michael Levin, Md, Founder, Health Business Strategies
Dan Lifton, Maypro
L. Douglas Lioon, President/CEO, Douglas Laboratories/Hvl
Jesse Lopez, President & CEO, Source One Global Partners
Fawn Lopez, Source One Global Partners
David Lough, General Manager, Pillbox Japan
Ian Lucas, Executive Vice President of Global Sales & Marketing, ONC
Shaheen Mageed, Director of Marketing, Sabinsa Corp.
David Matteson, Early-Edge Direction
Kathy Mcknight, VP Sales & Marketing, Natural Factors
Julian Mellentin, New Nutrition Business
Ron Millender, VP & General Manager, Capsugel
Bruce Miller, Executive Vice President, Marine Nutriceutical Corp.
Rob Miotke, Pharmachem Technologies
Alex Moffett, CEO, Renaissance Herbs, Inc
Takeo Mogami, Advisor Biochemicals Div, Kikkoman Corporation
Len Monheit, President/CEO, NPIcenter
Thomas Newmark, CO-CEO and President, New Chapter
Corey Norton, Director of Sales, A. M. Todd Botanical Therapeutics
Todd Norton, President, Sabinsa Corporation
Robert Orr, President, ONC
Ajay Patel, President, Verdure Sciences/Geni Herbs
David Perlmutter, MD, FACN, and medical director of the Perlmutter Health Center
Matt Philips, VP Sales and Marketing, BI Nutraceuticals
Jethren Phillips, Chairman, New Organic Ventures
Walter Postelwait, Vice President & General Mgr, Blue Pacific Flavors
Gary Powers, President, Ortho Molecular Products
Al Powers, President, Now Health Group
Bruce Remund, COO/Partner, VMI Nutrition
Jeff Reynolds, CEO/Partner, VMI Nutrition
Kristen Reynolds, Assoc. Director/Marketing and Sales, KGK Synergize Inc.
Karl Riedel, President, Nature’s Life
Diana Robinson, Director Of Business Developme, Aisling Capital
Lisa Sabin, VP, Business Development, Consumerlab.Com
Olav Sandnes, President, Marine Nutriceutical Corp.
Roya Sayyah, Technical Sales, Blue Pacific Flavors
Michael Scamarcia, Director Of Sales, Standard Process, Inc
William Sears MD, Associate Clinical Professor of Pediatrics, University of California Irvine, School of Medicine
Tracey Seipel, Research Director, Biologic Health Solutions Pty Ltd
Behnam Shojaee, President, Froid
Suzy Short, VP Marketing, Zsweet
Gary Spirer, Ask Destiny® Healthcare
Amanda Steele, Dreamers Brand New Brands
Pietro Stefanutti, Pharmachem Technologies
Scott Steinford, VP, Sales, Embria Health Sciences
Amy Summers, Pitch Publicity
Hy Sung, President And CFO, Econet, Inc.
Keyvan Taheri, CEO, Wellements, LLCLC
David Thibodeau, Managing Director, Canaccord Adams
Jim Thornton, CEO, Botanical Laboratories, Inc
Thomas Tolworthy, CEO, The Vitmain Shoppe
Larry Tree, President/CEO, Weil Lifestyle, LLC
Jay Udani, CEO, Medicus Research LLC
Peter Van Stolk, Founder and CEO Jones Soda Co.
Richard Weis, VP-Business Development, Omegapure
Robert Whitelaw, Director of Sales/Marketing, Capsugel
Donald Wilkes, President/CEO, Blue Pacific Flavors
Greg Williford, VP Client Services, Vitatech International, Inc
Roger Wyse, Managing Director, Burrill & Company
Steve Yamada, President/CEO, Maypro Industries, LLC
Anthonly Zolezzi, CEO - Co-Founder, Pet Promise, Inc.
Preston Zoller, Dir. of Business Development, Inverness Medical Nutritionals Group

Hopefully, I’ll see you in Dana Point in July.

All the best,

If you are keeping tabs on the Whole Foods & Wild Oats merger, here’s the latest from Supermarket News. Are John Mackey’s comments enough to halt the merger? Doesn’t seem like they would be enough, but this little bit of information indicates what information the FTC is looking at when analyzing the merger. Perhaps they should review more NBJ data on the natural retail & conventional retail market for natural products here.

I think most people in the natural products industry were surprised with the FTC’s action to block the proposed merger of Whole Foods and Wild Oats. Perhaps the FTC is taking too small of a view of the natural products industry.

According to NBJ’s most recent research, Whole Foods sales make up 20% of total natural health food/specialty retail channel sales. Wild Oats contributes just over 4%.

However, the devil is in the details and it’s all about how the FTC defines the market in their case. NBJ narrowly defines the natural health food/specialty retail sales channel to include:

• Whole Foods
• Wild Oats
• GNC
• Vitamin World
• Independent Natural Food Stores
• Independent Health Food Stores
• Independent Specialty Vitamin & Supplement Retailers
• Other specialty/gourmet, personal care (Body Shop, etc), gyms, herb shops, mall stands, delis, bakeries, salons, gift/boutique stores, etc.

Sales include foods, supplements and other products (natural & organic personal care, books, household goods, etc.)…nothing out of the ordinary.

At most the merged Whole Foods/Wild Oats entity would makeup 25% of sales and 285 of 35,876 natural health food/specialty retail outlets. That’s less than 1% of the total natural health food/specialty retail outlets for you math geeks.

So you have to ask yourself…does the proposed merger squash competition and narrow consumer choice? Debatable.

Now ask yourself….if total natural health food/specialty retail outlets only contribute 51% of total natural products industry sales, is there enough choice out there for industry and consumers? Seems pretty clear.

Here are my favorite articles/resources on and related to the merger:

• The Natural Foods Merchandiser Market Overview
• The Slate comments on the merger
• NFM covers the merger
• Nutrition Business Journal’s natural retail data & analysis
• Steve Hoffman of Naturally Boulder weighs in

The power dynamics of the natural retail market are changing. Depending who you are, you are either pleased/disappointed with the…

- Proposed merger of Whole Foods & Wild Oats
- Action of the FTC to block the Whole Foods & Wild Oats merger
- Rise of Costco as a player in natural products retail
- Rise of SPINS as a purveyor of data on the natural retail market
- Increased value of the independent natural retailer - otherwise known as the “”core”" of the natural products industry

For 8 years, NBJ has partnered with The Natural Foods Merchandiser to complete a research project that forms the basis for NFM’s Annual Retail Market Overview.

The findings of this largest and most complete rendering of the independent natural retailer market appears in the pages of this month’s issue of NFM…but will also be broadcast live (& free) on the Internet (via a webcast) on June 12th at 2pm ET.

NFM & NBJ team members (including myself) will lead this interactive discussion and Q&A about independent natural retail trends in the United States. Register now and be part of an essentially free consulting session on natural retail. We’ll accept all questions and answer all that we can.

Here’s the registration link. See you on Tuesday!

eventRegistration

-Patrick