Nature's Candy 2.2.3 Opportunities An efficient business model within a growing industry The ability to service the entire country Provide differentiation through enhanced convenience and service attributes 2.2.4 Threats General trepidation of Internet-based business Increased government regulation for supplements Aggressive competition from U. S, Canadian, and other markets. 2.3 Competition Within the mass-market retailer channel, the three primary vitamin and supplement product ine grands consist of 60 of the domestic market while the rivate label brand s account for the remaining 40% of the m National brands Examples: Centrum, One-A-Day Generally do not provide a full line of vitamins or other supplements The product formulas are conservative and generic in nature Broad-line brands Examples: Rexall Sundown GNCs Nature's Fingerprint Country Life. Full lines of products under one brand This is the market segment where most of the product development and innovation occurs Stronger potencies and cutting-edge ingredients Highest price Private label products Examples: NatureMed Under retailer's name Smaller line of products than broad-line brands Manufactured by a third party More conservative potencies than broad-line Tend to be the cheap2.2.3 Opportunities • An efficient business model within a growing industry. • The ability to service the entire country. • Provide differentiation through enhanced convenience and service attributes. 2.2.4 Threats • General trepidation of Internet-based business. • Increased government regulation for supplements. • Aggressive competition from U.S., Canadian, and other markets. 2.3 Competition Within the mass-market retailer channel, the three primary vitamin and supplement product categories are national brands, broad-line brands, and private label brands. The national and broad￾line brands consist of 60% of the domestic market, while the private label brands account for the remaining 40% of the market. National Brands • Examples: Centrum, One-A-Day. • Generally do not provide a full line of vitamins or other supplements. • The product formulas are conservative and generic in nature. Broad-line Brands • Examples: Rexall Sundown, GNC's Nature's Fingerprint, Country Life. • Full lines of products under one brand. • This is the market segment where most of the product development and innovation occurs. • Stronger potencies and cutting-edge ingredients. • Highest price. Private Label Products • Examples: NatureMed. • Under retailer's name. • Smaller line of products than broad-line brands. • Manufactured by a third party. • More conservative potencies than broad-line. • Tend to be the cheapest. Nature's Candy Page 6