Fruit and veggie shop launched growers club that stopped it from going under

Dennis Smith knew his fruit and veggie business was going under. Rolling lockdowns killed his wholesale trade while the border restrictions cut him off from 70 per cent of his retail customers. Here’s how he turned it around.

Gundy Quality Fruit and Veg owner Dennis Smith knew his business was going broke due to the harsh border lockdown so he thought outside the box and launched a new scheme that has triple the number of customers walking into his shop.

Two months ago Dennis Smith was faced with the harsh reality that his family business – Gundy Quality Fruit and Veg – was going broke.

The rolling Covid lockdowns and border restrictions cut him off from about 70 per cent of his customers and the hit to his bottom line was brutal.

“I didn’t know if we were going to hang on,” Mr Smith said.

The Goondiwindi businessman has two wholesale runs delivering fruit and veggies to pubs and clubs in Moree and Narrabri.

While he could cross the border as an essential worker it would not have mattered.

“The pubs and clubs are not able to open,” Mr Smith said.

At the same time retail customers who cross the border to shop are only allowed into Queensland for about an hour.

Mr Smith said this time pressure meant most went to the big supermarkets to buy everything at once, shunning small businesses like his.

“Covid has been a massive hit to us,” he said.

“The first year was not too bad because the government was giving out that extra money, but this time around it was different.”

Things are looking up for Dennis Smith and his family after he launched the Farmer Club in a bid to entice more customers into his store Gundy Quality Fruit and Veg.

The hours would drag by as Mr Smith sat in his store, completely devoid of customers.

It was a shame because until Covid hit the fruit shop it was a good little business that supported his wife and three kids.

“I was lying in bed thinking about what I could do to stay afloat,” Mr Smith said.

He remembered a ‘Banana Club’ that a mate ran in Townsville where he sold cut-price bananas to lure people in his store.

Mr Smith borrowed the idea and eight weeks ago he launched the Farmers Club.

It costs $5 to sign up for 12 months and it entitles members to cheap staples like potatoes, pumpkin and bananas.

2 STONE LIGHTER

2 STONE LIGHTER

Posted by Gundy Quality Fruit & Veg on Thursday, September 9, 2021

“I sell 500g punnets of strawberries for $2 and they are the good ones,” Mr Smith said.

In that time hundreds of shoppers have signed up.

The store went from having 20 customers a day to more than 70.

At the same time he has taken to social media and posted humorous videos with his sons playing the idea their mum would castrate him when she finds out about the drastic discounts.

While he takes a hit on the sale price of some items Mr Smith said it was worth it.

“I do think the Farmers Club will keep us afloat,” he said.

“It started two months ago and we are still getting people signing up each day.”

The club comes as the Federal Government announced about $14.55 million in grants for border region businesses.

For business support visit www.business.qld.gov.au or phone the Small Business Hotline 24/7 on 1300 654 687.