Stryve Foods is to work with redistributor Dot Foods to try to boost the sales of its meat snacks in the US market.
In a statement, the biltong supplier said the deal with Dot Foods would “streamline" its operations, improve service levels and "expand its distribution footprint".
Dot Foods will also help Stryve meet “growing” consumer demand for brands such as Stryve, Vacadillos and Kalahari, the company said.
In the first six months of 2004, Stryve saw its net sales grow 1.2% year-on-year. The company is forecasting its annual sales will jump between 30% and 46.9% in 2024, although it narrowed its prediction when reporting its half-year results in August.
Stryve Foods CEO Chris Boever said: “This partnership will help to enhance service to our retail partners, drive efficiencies, and create the foundation for further distribution gains. We look forward to leveraging Dot’s expertise and scale to maximise the reach of our brands and bring our better-for-you snacks to more consumers.”
Dot Foods supplies 125,000 products from 1,020 food industry manufacturers through its affiliate, Dot Transportation.
The company ships products to distributors across the US and in over 55 countries. It operates 13 distribution centres in the US and two in Canada.
“The meat snack category continues to grow and consumer demand for great tasting, high protein, low-to-no sugar, zero preservatives, in convenient ready to eat protein snacks is on the rise. Retailers are continuously optimising their assortment and our air-dried meat snack brands deliver on these growing consumer behaviours,” Boever said.
Alongside announcing the deal with Dot Foods, Stryve also said it had secured "major new retail distribution gains" at an unnamed nationwide retailer.
This agreement will see Stryve’s products being available in “thousands of new locations” across the US in the first quarter of next year, it said.
Details about the retailer and product availability will be shared as they become available in stores in early 2025, Stryve added.
In the six months to the end of June, the company generated net sales of $10.8m, up 1.2% on a year earlier. Stryve said its sales mix had improved amid the "discontinuation of certain retail programmes [and] rationalisation of low-quality revenue".
The group booked a first-half operating loss of $5.2m, versus $7.6m a year earlier. Net losses stood at $6.9m, against $9m in the first half of 2023.
Alongside those results, Stryve narrowed its forecast for annual sales. It is forecasting net sales of $23-$26m, which would represent growth of 30% to 46.9% year on year. It had predicted net sales of $24-30m.
Earlier this month, the company filed "preliminary, select" results for the third quarter. "Based on initial data, the company expects net sales for Q3 to reflect year-over-year growth of 30% to 35%," it said.
In July, Stryve named former PepsiCo senior official, Kevin Vivian as the new chairman of the company’s board.
