When it was first suggested to the owner of 110,000-square foot Kittery Trading Post that they introduce Calico fudge to the store, the reaction was decidedly skeptical.
Delicious, high profit fudge makes your store a destination.
But since adding the treat to the specialty sporting goods retailer, which is located in Kittery, Me., fudge has produced the most dollars per square foot of any item in the establishment—and the store executives have become true believers.
“We have a thriving fudge business,” says Kittery's Vice President.
It took three tries to convince Kittery Trading Post to test out Calico fudge over one weekend. To that end, four Calico representatives helped set up a fudge counter equipped with 600 pounds of the treat. By the end of the first day, they’d sold over 500 pounds of fudge. “The owner was very surprised that we made so much money on a single item in such a short period of time,” says the VP.
Invaluable Help from Calico
As sporting goods retailers, the Kittery staff knew very little about how to sell fudge. But, according to the team, Calico’s customer service proved invaluable. The Vice President especially points to the help they received placing the fudge counter in the optimal location, learning how to make fudge, and boosting sales by offering free tastes. “(That’s) the key to success,” he explains.
Now, the store sells about 10 tons of fudge a year, grossing about $250,0000, with over 60% gross profit margins. That’s particularly impressive, the executive says, because the store’s other merchandise has profit margins of 35% to 38%.
“Will selling fudge really add to a sporting goods store?” Kittery's VP ponders. “Absolutely. It offers a full service to our customers and has been a great addition to our family of products.”