Case Study: Nutra Company Looking For Canadian Foothold

The market for natural health products (NHP’s) in Canada has never been stronger. US marketers looking to tap into that market recognize the enormous potential but also face a number of obstacles both regulatory and from a logistics standpoint. Health Canada oversees the importation of NHP’s and regulates which products can and cannot be sold in Canada.

A prominent US Nutraceutical retailer had been selling their popular brand of product throughout the US and but was struggling to grow their Canadian sales. They could ship limited amounts into Canada using a personal use exemption but international shipping rates were high and worse, Canadian customers were being hit with COD charges for taxes and brokerage fees once the product crossed the border.

Stalco, Canada’s largest health and wellness 3PL, was the perfect solution. Firstly, Stalco was able to help the customer navigate the regulatory hurdles to get the product approved for sale in Canada. Being site licensed by Health Canada, Stalco ensured all the importation, labeling and recall procedures were met.

Secondly, by shipping domestically, end users no longer needed to worry about getting hit with additional taxes, fees and brokerage fees and shipping costs were slashed by 40%.
Stalco helped them expand their international sales and eliminated the barriers to doing business in Canada. By having a Canadian fulfillment option, the customer was able to scale up their operations and grow their sales.