Brexit Signals Panic Buying, Storage Food Shortages - Sale Discounts Still in Place

Discussion in 'Buy Sell Trade' started by JC Refuge, Jun 24, 2016.

  1. JC Refuge

    JC Refuge Monkey+++ Vendor

    "Early" warning: You would be well advised to make sure your household preps are ready for the falling dominos now starting to cascade.

    As we recently advised our club members, HUGE storage food orders have been piling up this month, placed by individuals with finances and insight into what is coming. We may very well set an all-time record for foods sales volume--and that says a lot.

    Note that we came to that conclusion even before the UK BREXIT vote results. We are today seeing of course another growing surge in orders coming in--so we are now expecting panic buying to become widespread and long-term. We've experienced similar situations thru the years and this may be the granddaddy of them all.

    Bottom line--we are now forecasting that we (and all storage food dealers and manufacturers) will be seeing storage food shortages very soon. As of today, the warehouses around the US remain fairly well-stocked. Get your orders in. It doesn't take very long for the limited capacity of the food storage industry to become overwhelmed.

    Safecastle is keeping our very steep current discounts in place while we can (thru the next week at least).

    Here are a few of the most popular sale items moving fast:

    Mountain House Cans and Pouches - up to 47% off

    Red Feather Butter - full case, 24 cans: up to 36% off

    Bega Cheese - full case, 36 cans: up to 36% off

    Butter and Cheese Combo Package - full cases: up to 38% off

    Yoders Bacon - full case, 12 cans: up to $41 off (use $10 Coupon Bunker code)

    Sampler packages - single cans: up to 15% off
  2. JC Refuge

    JC Refuge Monkey+++ Vendor

    Our suppliers have already run out of three different foods (Mountain House Diced Cinnamon Apples, Future Essentials Garden Crackers, and Surplus Pasteurized Eggs).
  3. chimo

    chimo the few, the proud, the jarhead monkey crowd

    This is why we we don't get caught with our pants down when events like these happen and everyone else gets into panic buying mode. Thanks for the attempt at a heads-up is appreciated.
    ghrit likes this.
  4. JC Refuge

    JC Refuge Monkey+++ Vendor

    FYI, we've been in this business for almost 15 years now and we have experienced full-on factory-emptying panic buying situations three times. And a couple of other times that were almost at that level.

    MH has as a result re-strategized their manufacturing plans at least twice in that period in an attempt to be able to deal with it the next time around.

    The last time it happened (last September), they were not able to prevent having their shelves totally emptied in a matter of a few weeks. But they were able to recover much faster than in the past--taking only about two to three months to get all their varieties online. BTW, two of the three panic buying events we warned our customers about weeks in advance, so many were able to stay ahead of the curve.

    Not sure how big you think the storage food companies are, Taku, but believe me--when there is a serious prepper surge, it's not hard to clean the aisles out--at all the dealer warehouses and producer factories.

    Mountain House is easily the biggest operation in the storage food business. They are always the first to get wiped out.

    It's not yet clear that we are in full panic mode quite yet, but I can tell you with certainty that we are having the busiest month in years. Given the impact that Brexit promises, I would be tempted to bet the mortgage that we are again about to see that panic surge in the food storage biz across the board.
    Last edited: Jun 24, 2016
    kellory, oldawg and VisuTrac like this.
  5. JC Refuge

    JC Refuge Monkey+++ Vendor

    There's a lot of info out there today about what comes next. This is one article I think at least hints at the scope and longer-term ramifications that we really need to be conscious of:
    BREMMER: Brexit is the world's most significant political risk since the Cuban Missile Crisis

    I don't intend to turn this into a Brexit thread per se, but to me this all about the culture ... nationalism, self interest, and taking several steps back from the globalism and progressive movement of the last few decades.

    So politically and culturally, we are now headed back in time for what it's worth ... and yep--I am feeling pretty good about it even though it's going to be causing pain for some time.
    mysterymet likes this.
  6. kellory

    kellory An unemployed Jester, is nobody's fool. Banned

    Just a reminder, but this is a vendor thread, and not open to debate. (Ymmv)
  7. JC Refuge

    JC Refuge Monkey+++ Vendor

    True enough, Kellory. I get that folks look askew at how we are open about supply issues and customer buying trends.

    I started realizing it was the right way to treat our customers not long after we started growing. Many regular customers would come back after we were unable to promptly fulfill their orders due to demand and inventory depletion. They were angry and wondered why they were not sooner made aware that demand was strong at that time.

    Fact is, there are no analysts out there following our little market niche and since then I have always felt that it was important for OUR customers to have an edge over others out there who are sweeping in to buy up what's available. And yes, that happens. It's not that rare when world circumstances and the emotions that follow create a stampede to stock up.

    It's happening now. In fact, depending on certain definitions, today is already the largest single day in our company's history in sales. It is all storage food going out the door ... in huge quantities.
    kellory and VisuTrac like this.
  8. kellory

    kellory An unemployed Jester, is nobody's fool. Banned

    I understand that, but i also have to wonder...if this is long time storage food, why is there not more already in storage?
    Unless it is having too much money tied up in unsold inventory. If this is such a hot selling product, why miss any sales option by being out of stock? Given what this product is, it is not likely to go bad while awaiting sale.
  9. mysterymet

    mysterymet Monkey+++

    Because holding inventory costs money and it ties up working capital.
  10. JC Refuge

    JC Refuge Monkey+++ Vendor

    Well in simple terms--number one--what customers buy in storage food is shelf life and of course future nutrition. Generally most storage food does demand a pricing premium over the same foods that are packaged only to last for a year or less.

    If folks take delivery of food that is already a year or more on the shelf, they are not happy about it.

    Food that has been sitting in a producer's warehouse for any length of time cannot really be sold as new product. It quickly loses value. As a for instance, MH often has to sell product at 50% off when a given variety has not sold as fast as they had figured.

    On the dealer side, some dealers do stock and sell old food without notifying customers on that. (We have a little article warning about that linked from our store pages.) They figure if they can get away with it, they win. Those outfits are also engaged in subtle other deceptions, so once they figure out who they are, sharp customers never go back. And they shouldn't.

    Anyway--yes, tying up capital in inventory that is losing value is a no-go in any business.

    MH, as I mentioned previously, is the industry giant. They run their production schedules according to current sales trends and clearly they cannot be wrong about future sales or they lose money and people lose jobs. Fact is, they have other large business niches beyond preparedness and they do not try to guess when preppers or world crises are going to cause a burp in their #10-can sales numbers. I do try to give them a heads up when I see it coming, as I did yesterday in a discussion about the Brexit development. I don't know how fast they will be able to ramp up. They are a big corporation after all and they are not as nimble with their production as we would all like them to be.
    oldawg, mysterymet and kellory like this.
  11. JC Refuge

    JC Refuge Monkey+++ Vendor

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