Quantum Beauty Company – a story of innovation and success in exporting
One wall in the conference room at Quantum Beauty Company’s (QBC) smart offices in Wokingham is
full of award certificates. These are for some of QBC’s Lee Stafford branded haircare products, which
the company markets and distributes in the UK and overseas. The room also has a display of the
products, the main range packaged in bright pink and orange. This reflects hairdresser Lee Stafford
himself: different, dynamic and fun. In fact the company’s strap line is: Innovate, Create, Develop,
Design, Inspire. A new range has recently been launched ‘Salon Science’ a premium brand with
understated packaging. Salon Science, with Swiss formulations using plant stem cells is manufactured
in the UK and sold in the top 300 Boots stores. Lee remains very much involved and is in constant
contact with Graeme and his team. He is particularly popular in Russia!
QBC is known for haircare innovation all over the world. The company employs 18 people and
currently exports its trademarked brands to over 40 countries including Russia, USA, Australia and
South Africa. QBC has made the transition from being a 100% UK sales company, founded in 2001,
to over 50% of its sales coming from exports. QBC has a well-established relationship with
distributors and retailers all over the world, including Alliance-Boots.
Graeme Riddick, CEO of QBC has been involved in the cosmetics and toiletries industry since 1974
when he joined Beecham Group which eventually became GSK. Graeme’s business journey from GSK
to CEO of QBC is a fascinating one. It included moving from his native Scotland to the South. He left
GSK in 1984 to join Hawaiian Tropic UK as sales manager, then Ultra Glow Cosmetics in 1989.
Graeme then set up his own company as a distributor in 1991 – including Trevor Sorbie hair products.
He worked with hairdresser Trevor Sorbie, for five years, developing his brand in Boots retail. Then a
life changing event took place – Graeme was at the British Hairdresser of the Year Awards in London
in 1998, a flagship event in the industry, and saw Lee Stafford win the main award. Graeme
immediately realised that Lee was dynamic and different and after the event, wrote to him, offering
to develop a product brand. He eventually spoke to Lee who said he was excited as he always
wanted to develop a product range but didn’t have a clue how to do it. The two met, clicked and
decided to work together. The products took two years to develop, using an expert manufacturer to
devise and produce the formulations and Graeme used his contacts at Boots to secure an exclusive
deal (which has continued ever since). As Boots has 70% of the market, this was a significant coup.
Graeme took up the story: “So in September 2001 the Lee Stafford range was launched with 12
products. It was tough to start with, going against several professional hair care brands but the
momentum started to build. Most of these brands were picked off by multi-nationals and a few
independents were left. The contract with Boots is a mutually beneficial arrangement and renewed
every three years with the relationship growing ever stronger”.
“Our first foray into exporting came about when we exhibited at a major trade fair in Italy –
Cosmoprof. On that occasion we took a corner of Woods of Windsor’s stand and secured the first
overseas distributor in Sweden, who still works with us today. This was the status quo for a few
years until the brand became even more well-known through marketing and PR activity which led to
receiving enquiries on the website from other countries. During this phase we were being reactive
only and developed a system for qualifying opportunities, adding a few countries per year”.
Everything took off four years ago when 10% of the business was exports, today its 60%, an
incredible achievement. How did this happen? Graeme explained: “Firstly we took exporting
seriously, we received advice from UKTI and the Chamber; went on trade missions, attended
seminars, received some funding and attended Chamber International Trade Workshops. The admin
department was expanded and became experts on shipping, certification and legalisation. In the last
15 months we entered Saudi Arabia, Brazil, Chile, Mexico and Colombia. Next on the hit list are India
and China – both huge markets”.
Increasingly Graeme spent most of his time outside the UK, visiting new markets and launching the
products but 15 months ago recruited a new export sales manager. “Now we have a focused
resource, we will be looking for new markets next year and attending more overseas exhibitions”.
Despite handing over management of the countries, Graeme is still involved and before the interview
was in a conference call with the Australian distributor on the subject of exchange rates. Products are
sold in the Boots equivalent stores in each country.
Graeme likes being based in Wokingham and recruits locally. Most of the team were recruited as
graduates and many are still with the company.
Graeme was keen to point out that ‘made in the UK’ still has a cachet abroad, even to the extent of
keeping the labelling in English. This is true particularly for fashion and cosmetics. Graeme is very
proud of QBC’s achievements and awards as well as flying the flag for the UK cosmetics industry.
In July 2014, Graeme represented Thames Valley Chamber at a private breakfast meeting at 11
Downing Street with a dozen dynamic and fast-growing Chamber of Commerce businesses from
across Britain. The discussion focused on practical ways to boost exports, business investment, and
growth.
After the meeting and a dinner the previous evening, Graeme commented: ““I had the honour of
representing the Thames Valley region at the visit to No 11. This was a unique opportunity to meet
likeminded business people from all over the UK and of course, The Chancellor, George Osborne in
person. Each of the representatives from the various Chambers was given the opportunity to talk to
The Chancellor on a chosen subject and receive instant feedback and comment from him. I would like
to thank the BCC and of course the Thames Valley Chamber of Commerce for giving me this great
opportunity”.
What advice would Graeme give to small businesses looking to export: “Talk to UKTI and the
Chamber first, the more advice you can get the better. The Government is doing all it can to help –
the Chancellor was genuinely interested in companies growing through export. There is a huge world
out there but you have to be prepared to work hard. In our market, there are many regulations to
comply with too. We like to consider ourselves Ambassadors for Export”.
“You have to visit the countries and meet people face to face, there is no substitute for it and the
people you meet really appreciate it. We enjoy working with our distributors, we are treated well and
they love new ideas and innovations”.
The visit to No 11 Downing Street has opened up new opportunities for QBC. Graeme has been
interviewed by Raconteur, who produce special reports for the Sunday Times, which he is particularly
pleased about as it gives the huge cosmetics/hair care industry some recognition. Graeme met
likeminded people during the visit both at no 11 and at a dinner the night before, who he will keep in
touch with. The whole experience has inspired Graeme to enter the Queen’s Awards for Enterprise –
International Trade. Since the criteria include outstanding achievement and success for the size of the
operation and substantial growth overseas – there is no doubt that QBC has a very strong chance of
winning.
http://www.qbc.gb.com/
QBC has been a member of Thames Valley Chamber since 2011 and was introduced to UKTI by the
International Trade team. Since then QBC has attended Chamber events and workshops as well as
becoming a regular customer of the export documentation service.