Autumn Harp makes products for all seasons

In 1994, Autumn Harp of Bristol, Vermont was finishing off a move into an 11,000 square foot production facility (see "Growing Beyond A Comfortable Niche," March/April 1994). Today, the company that makes natural skin and lip care products is refocusing its product development and marketing communications efforts. According to founder and president Kevin Harper, the company experienced turbulence the past three years as regional drugstores were bought out by bigger chains. "We went from a specialty crossover brand where we were able to advertise to create customer interest, to a national brand that was unable to withstand the rigors of the demanding retailers," Harper explains. "We found we were losing money and no longer in a sustainable situation." Because of the financial difficulties, Autumn Harp was forced to cut 27 of its 70 jobs.

In December, 1997, the decision was made to refocus the company. and effectively withdraw its products from the national marketplace. "We did that responsibly," notes Harper. "We balanced all of our accounts and took a big financial hit. But we got out with our name in good standing and kept the door open if we ever decide to return." Instead, the focus was placed on private label arrangements. Building on a custom manufacturing partnership with The Body Shop International it began cultivating in the late 1980s, Autumn Harp manufactures private label products for international companies such as the Estee Lauder and Gap corporate brands. "We've enjoyed our relationship with The Body Shop and leveraged that business into a multitude of large private label deals. We've gotten back to the level where we're starting to make some money," says Harper. The company is back into a two-shift workday and is adding staff again.

Demand for the company's products from customers of natural product retailers remains strong. According to published data by Spence Information Services (SPINS), Autumn Harp's Un-Petroleum lip balm line is the category leader in the natural products industry, amassing greater dollar sales in natural products supermarkets than any other brand. Only natural, plant based ingredients are used. While other companies depend on ingredients derived from nonrenewable petroleum, such as mineral oil, petroleum jelly (petrolatum) and Paraffin, Harper and his staff work with vegetable-based oils, waxes and other "living" materials. "The last couple of years we weren't profitable," Harper adds. "But with the sizing of the company for the new strategic direction complete, we're realizing the benefits of the difficult decision."