Coronavirus sales surge: How a plant-based cleaning startup is adapting to a 400% increase in demand for its top sellers

Crystal Cox/Business Insider

"Wash your hands frequently; disinfect surfaces," says CleanWell CEO Stew Lawrence, echoing the recommendations of public health authorities.

• Coronavirus preparations are leading to a run on supplies like hand soaps and sanitizers, as well as disinfecting wipes and sprays.
• CleanWell, a small consumer goods company in Denver, says that its retail channels are already clearing out inventory that was meant for the back-to-school shopping season.
• According to company metrics, February saw a 400% increase in the sales of its top-performing products, and is on track to sell six months-worth of inventory in one month's time.
• CleanWell CEO Stew Lawrence told Business Insider the situation is "chaotic," and that "this is obviously one of those situations that we want to end, for public public health reasons."
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As consumers brace for the impact of COVID-19, or the novel coronavirus, stores are selling supplies like hand soaps and sanitizers at a rapid clip - and mega firms and small businesses alike are racing to keep up.

Globally, more than 110,000 people have been infected and more than 3,800 have died, while in the US, 554 cases have been reported and 21 people have died.

One such small business is CleanWell, a small consumer goods company that makes and sells a range of plant-based cleaning products, including product partnerships with the well-known Seventh Generation brand.

"Right now we're really just concerned about getting what we have out to consumers," said CleanWell CEO Stew Lawrence in an interview with Business Insider. "This is obviously one of those situations that we want to end, for public public health reasons."

As is typical for the industry, CleanWell uses a contract manufacturer to make its products alongside other large and small brands. Lawrence says cooperation and coordination are key to meeting the surge in sales.

According to company metrics, February saw a 400% increase in the sales of its top-performing products, and is on track to sell six months-worth of inventory in one month's time.

CleanWell's cleaning products use the naturally disinfecting properties of thyme oil, and are available online through Amazon and Thrive Market, as well as local health-food stores and co-ops around the US.

"For some SKUs, we had just produced enough product to get us through back to school, so we were sitting in a decent place in that respect," Lawrence said. "We're a small emerging company, so we don't have buildings and buildings of product, but what we do have, we're working to get it out get it out to people."

CleanWell

CleanWell.
Meeting the new orders and replacing finished inventory is also requiring a lot out of Lawrence's team and suppliers alike. Each partner in the CleanWell's supply chain is facing a common challenge, and taking similar steps to address it.

"Our partners are working to fit us in where they can," he said. "They're working Saturdays, they're putting on a third shift or night shift, so they're obviously trying to support demand that's out there."

When asked about what CleanWell would do if the threat subsides and demand slumps, Lawrence indicated he and owner Peter Resnick were making no such hedges.

"We have one owner, and he is extremely supportive of getting out over your skis a little bit, meaning taking on that risk and knowing that it could come," Lawrence said.

He also cautioned against stockpiling essential products like sanitizers and facemasks that could be put to use right now.

"This isn't the time to profit," he said. "Figure out who needs them."

And as to the question of how people can best prepare themselves and their families, Lawrence recommends following the directives of public health experts like the US Centers for Disease Control, the UK National Health Service, or the World Health Organization.

"They're saying what they say every cold and flu season: wash your hands frequently; disinfect surfaces," he said, adding that he is seeing a heightened response among people in his community, like at his men's league hockey games.

After a typical game, Lawrence shakes hands with everyone who played. Not lately though.

"This week it's been fist bumps and elbow bumps," he said.

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