Brexit and Cleaner Products

Posted by:pete

There is a great deal of talk and articles being published related to a no deal Brexit with scaremongers forecasting a £5.4bn reduction in the UK eating out market. In a recent forecast by MCA Insights using ‘synthetic control method’ whereby statistical techniques which uses ‘machine learning algorithms’ to complete the data, but will these figures come to fruition. Well, it is true that a ‘no deal’ Brexit will have implications with consumers taking precautionary measures due to the uncertain economy, but let’s not jump the gun. The UK hospitality sector is a very rugged beast and has seen many challenges over a number of decades and it has always managed to survive and grow, and we believe the next couple of years will go to prove that our countries vote of departing from the EU was right and will prove all the ‘snowflakes’ wrong.

So how will Brexit effect the brand Cleaner Products: It is our belief that it will give us further advantage over our competitors, this year we have witnessed price rises being implemented by our competitors ‘the global leaders’, these rises have been in the range of 4-6%, whereas we have not had to raise our prices this year and in-fact we have maintained the same prices to our clients for the last decade.

So how are we able to maintain our competitive edge: Because we manufacture in the UK and deal direct with our clients there are no middlemen adding their distribution costs, we also run a very tight ship and have over forty suppliers for raw materials and disposables and we buy from the most competitive sources, rather than accepting their price increases we ask them to ’sharpen their pencils’ or we buy from elswhere. We buy predominantly within the UK and for goods that are imported we have spoken to our suppliers and they have promised us that they want to continue to supply us and will do whatever is required to maintain our business.

So how long will we be able to operate without increasing prices: This is the million dollar question that we have been trying to answer. The Cleaner Products brand continues to grow at a healthy rate and the ‘economies of scale’ that are produced will enable us to maintain our prices for the foreseeable future.

Some of our clients have been sold services that were supposed to be more competitive, only to find that the grass was far from greener on the other side of the hill, and they have all returned to us ’cap in hand’, we always welcome them back without increasing their original prices.

There will be challenges ahead for all British companies but our place in the hospitality sector is secured by a superb portfolio of loyal clients. A lot will change over the coming years with us reverting back to British Standards rather than being governed by EU Law, but Hey Ho our country did very well before the European alliance and we will get back to normality very soon, why, because were British, and proud of it.