Honey firm in sweet win

NZ Honey Co Wins Fast Fifty

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Honey might be slow and sticky but a honey business tops the 2009 Deloitte Fast 50 list.

New Zealand Honey Co in Dunedin was the top-ranked entrant in the business super-growth event, scoring 995 per cent growth over a three-year period.

The index, announced last night, celebrated the 50 fastest-growing companies, a spectrum of business success from recruitment to online retailing to pilot training.

Deloitte partner Matt McKendry said the fast-moving firms felt the recession as much as any other business, but had a distinctly common theory on how to get through.

"It's always the same story. They focus on the niche rather than being a broad player, and if you get that niche with a strong value proposition you can keep that growth rate going."

The niche focus theme ran consistently through the history of the Fast 50 and resonated with previous stars such as Trade Me and vodka marketer 42 Below. But it was a stronger message this year, in the tough economic climate. When you look at these companies, they focus on what they do and they do it well."

Mr McKendry said 16th-placed New Image Group was a great example, in that it focused simply on selling colostrum products into Asia.

"That's just what they do; they've got a few things right in their business model and just applied the gas."

With two primary producers, NZ Honey Co and Rakaia milk company Synlait, in the top 10, Mr McKendry said the sector was always going to feature well in the top echelon of companies because it was New Zealand's core capability.

"New Zealand still has an incredibly good knowledge base of how to turn primary produce into good products. That's what Dad knows, it's our history and our heritage."

The strengths that were coming through now were due to companies doing primary products cleverly. One example was Fast 50 winner NZ Honey Co, which had capitalised on personal knowledge of the British supermarket industry to enhance its distribution to that market.

The prognosis for next year from Fast 50 entrants was all about recapturing the market that had waned in the recession. "It's about getting back into it and getting going."

The attitude was naturally positive due to the fact that Fast 50 companies were growing strongly. "I'd be pretty surprised if they turned around and said there's a cold winter coming," Mr McKendry said.

Businesses with more than $250,000 in sales in 2007 were eligible to enter the index, and results over the years showed that most fast-growing businesses took part in the competition.

- © Fairfax NZ News