Deluxe Rich started its business activity in its early years by just doing contract manufacturing. Recognizing the needs to develop and expand its activity from merely doing contract manufacturing and to have more control, consistency and market involvement, and to have its own identity and brands, in 1978 launches its first house brand ‘TreeFresh’ and since then, numerous more.
While shifting its core activity from contract manufacturing to producing product bearing its own brand, a substantial portion of its activity is still manufacturing products on a contract basis. Deluxe Rich recognized that this segment of the business cannot be phased out, but then growth of this segment in its current environment will not grow and contribute to sustainability. In this business format, customer or brand owner involvement is very limited and development is very little if not at all. Deluxe Rich is looking into changing this business format. Deluxe Rich has developed a new concept where by joint venture and partnership is forged rather than a plain straight order and produces kind of business relationship. In this new concept, customers and potential customers are invited to be directly involved in product roll out. The degree of involvement will vary depending on viability, need and investment outlay.
Current practices entail that the company manufacture product under the brand owned by customer using formulations approved. In situation like these, customers have no direct involvement in development of product and Deluxe Rich will not be involved in end marketing strategy. The advantage of such arrangement is that Deluxe Rich shall not be liable for any misgiving in the marketing of the product and the customer will have full control, but bear full liability in product and marketability including advertising, promotional and technical issues that might arise. Most of the time we see that such an arrangement as a onetime off with little or no improvement on the product thus no sustainability.
What Deluxe Rich is offering to arrest such issue is to work with the customer from product development right up to marketing. From our center of excellence which is to be built, our strong research and development team will developed product to meet customer requirement and from feedback received from the market. We will even offer to our customer facility under a joint venture programme where we will provide our expertise in processing.
For further collaboration we are offering our customer turnkey project. Under this programme, the customers are invited to co-invest in the process facilities. Deluxe Rich with its bank of floor area that is purposely designed and built will be able to accommodate multiple processing line and integrates it into existing centralized amenities.