The Vitamin Shoppe expands online distribution with iHerb deal

The Vitamin Shoppe has expanded its online sales footprint with a global distribution deal with iHerb. 

The deal announced Wednesday will place The Vitamin Shoppe’s branded products into iHerb’s international distribution platform. 

According to iHerb, the platform distributes more than 50,000 products covering more than 1,800 brands to more than 180 countries. The products range from skin care and personal care items to dietary supplements and food products. Last year, the company celebrated its 27th anniversary. 

The deal will cover a wide range of branded products including Vthrive The Vitamin Shoppe, BodyTech and BodyTech Elite. 

Strength in sports nutrition sphere 

According to The Vitamin Shoppe’s president, Muriel Gonzalez, the retailer’s strong position in the rapidly growing sports nutrition sphere was one of the lynchpins of the deal. 

“[W]e’re especially pleased to now offer our high-quality supplements and advanced sports nutrition formulas to millions of new consumers in markets around the world, via the global reach of iHerb,” she said in a press release announcing the deal. “Our collection of exclusive brands and products are consistently top sellers across our U.S. business, due to their trusted quality, innovation and value. We look forward to bringing those industry-leading standards to our partnership with iHerb and its extensive international customer base.” 

Related:The Vitamin Shoppe Changes Ownership

The opportunity is significant. According to Nutrition Business Journal’s 2024 Sports Nutrition and Weight Management Report, in the domestic market alone, sports nutrition supplements are estimated to reach $9 billion (or $9.01 billion) on 11.6% growth. 

“Our collaboration and partnership enable us to fulfill our mission of providing customers worldwide access to the highest quality health and wellness products. Together with The Vitamin Shoppe, we look forward to empowering individuals to prioritize their physical and emotional well-being,” said Lindsey Wiefels, SVP of merchandising for iHerb. 

According to iHerb, one of its advantages over its ecommerce competitors is its GMP (good manufacturing practices)-compliant distribution network. The company says its distribution centers in North American and Asia are climate controlled to remain within 74-75 degrees Fahrenheit (23-24 degrees Celsius). Some reports alleged competitors’ warehouses have failed in this regard. 

The Vitamin Shoppe ownership details 

The Vitamin Shoppe is a subsidiary of Franchise Group Inc.  The company houses several businesses besides The Vitamin Shoppe, including Pet Supplies Plus, Wag N’ Wash, American Freight, Badcock Home Furniture & More, Buddy’s Home Furnishings and Sylvan Learning. 

The Franchise Group was taken private in a $2.6 billion management takeover led by then-CEO Brian Kahn. The deal closed in August 2023 and included financing provided by B. Riley Financial, Inc, an investment bank. 

However, Kahn stepped down as CEO in January amid an SEC investigation of B. Riley Financial over the collapse of a hedge fund known as Prophecy Asset Management. Kahn was replaced by Andrew Laurence. 

According to some of the final financial statements filed before the company went private, in December 2022 Franchise Group reported having about 8,500 full-time employees and more than 5,000 part-time workers.  The company had reported more than $1 billion in quarterly revenue in early 2023 but also revealed it was carrying more than $1.4 billion in debt.