Bergans of Norway today announced a restructuring of its international distribution that includes closing sales organizations in four markets, including Bergans USA, which has been responsible for sales, marketing and distribution in North America since 2012. After distributing its products in North America for 10 years through a distributor, Bergans of Norway opened its wholly owned Bergans USA subsidiary in Longmont, Colo., in January of 2012.
“Going forward we will increase our investments in product, sales and marketing significantly in the Nordic markets, the DAC countries and Benelux,” said new CEO Leif Holst-Liæker, who took over in December 2015 for Ragnar Jensen, who retired from CEO after 23 years at the helm. “At the same time the brand will close sales organizations in the USA, Canada, UK and France, and only be present in those markets through exclusive accounts or distributors. In Russia the subsidiary will be converted to a distributor.”
According to the company, Bergans USA increased sales 155 percent and increased specialty retail partners by 127 percent since its opening. But according to Holst-Liæker , Bergans of Norway expanded simultaneously into several international markets during the last several years, creating unique challenges and stretching its resources.
“The more focused approach to markets, products and brand building will enable us to improve our offerings to both consumers and retailers, as well as further strengthening Bergans internationally,” said Holst-Liæker.
“Over the past five years, thanks to the hard work of our great sales force, marketing team, and customer service and office staff, we have seen great growth and brand expansion in North America,” said Keith Patterson, president of Bergans USA. “We’re disappointed, but understand and support the company’s decision to exit certain markets to build for the future growth of the brand. Overall, Bergans will be stronger for it.”
For retailer questions about Bergans USA, contact Keith Patterson at keith.patterson@bergans.com.
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