The U.S.-born Hungarian Supplementary Success Story

Interview

When I first started coming to Hungary around five years ago, I was struck by the fact that most young men had arms the size of my legs. I became used to seeing enormous tubs of whey-based protein supplements on display in Hungarian homes next to the coffee.

Bálint Lévai

Then I started spotting the same BioTechUSA name I saw on many of those tubs on an ever-growing array of protein bars at my local bio shop. I began eating protein bars myself, usually for breakfast before a yoga class.

Like the millions of people who’ve discovered protein bars, I like the convenience, the idea that I’m eating something healthy and not just a candy bar and also, as the flavor has improved, the taste.

Since my choice of bar has become BioTechUSA, I was curious to find out more about the company.

It began when Ferenc and Katalin Lévai started importing gym machines from the Ukraine in 1992. They then set up between 100 and 150 gyms across Hungary. The logical next step was to offer protein concentrates, fat burners and vitamins in the bars of the gyms.

At first Ferenc and Katalin imported the MLO and BioTechUSA brands from the United States. Initially, the BioTechUSA brand was owned by the American Williamson family. When the family business went bankrupt, the Lévais took over the brand in 1999.

From 2004, the company has focused solely on dietary supplements. The first franchise store in its Europe-wide network opened in 2005. Since 2014, the company has manufactured most of its products at its logistics center in Szada (about 29 km northeast of Budapest, near Gödöllő). There are currently around 800 product variations, including vegan, gluten and lactose free varieties, and these are distributed to around 70 countries.

Today, BioTechUSA employees more than 900 people. Annual sales have tripled: In 2018, they were HUF 23.4 billion (around USD 77.5 million).

BioTechUSA has also built its own offices in Óbuda, on the Buda side of the city.

It was here that I met with Bálint Lévai, the CEO of what is still a family-run company.

BBJ: Bálint, your father Ferenc launched the company at a time when he says bodybuilding was forbidden fruit in Hungary. What did he mean by that?

Bálint Lévai: It’s a sport about looks and it’s easy to misjudge people who look very muscular. In the beginning, there were very few people who looked like that. I think he meant it was just something so new people said “I don’t want to look like that”, or thought it must be unhealthy.

BBJ: That’s certainly changed. What has driven the health and beauty industry in Hungary?

BL: The main thing is the work done by us and our competitor Scitec. Our fierce competition and marketing strategies have developed the market in Hungary and shaped the way people want to look.

BBJ: Your packaging is very different from Scitec’s. It’s become subtler and more modern. Why’s that?

BL: We realized we could reach an even wider audience if we focused more on lifestyle than just on hardcore gym people who work out every day. The idea is that if you have a goal with your body, we have a solution. We’ve been working on this for the past four to five years.

BBJ: How did you arrive at that logic?

BL: A combination of listening to our customers, knowing our market well and following our intuition. Let’s call it calculated intuition. Now we’re attempting to predict what will happen in the next one to two years.

BBJ: And what do you think will happen?

BL: We believe a healthy body will always be trendy, whether someone works out in the gym, runs or does yoga. We’ll always be there to support people who want to do something for their health and their body, look good and stay young.

BBJ: Your sales have tripled since 2013. Why is that?

BL: The main reason is that we have really good people. We’re all enthusiastic about what we’re doing, which translates into constant growth on all channels.

BBJ: Some 70% of your products are sold outside Hungary. Has it been tough to get a foothold in Western markets? Is that why you put USA at the end of your name?

BL: When we started to import BioTechUSA, all of our products were owned and manufactured in the U.S. After we switched to making our own products in 2014 in our own factory, we no longer needed to make anything in the States. But some of our raw materials still come from there.

BBJ: Can we look at the science? Your products are certified by a number of bodies.

BL: Our products are 100% backed up by the European Food Safety Authority (EFSA). This governs what we are and aren’t allowed to say. They’re also FDA certified and Halal.

BBJ: And how scientific is your product development?

BL: Lots of different areas stimulate product development. It’s a combination of initiative and reaction. The marketing team is always putting new ideas on the table. Our sales team knows the market and can spot where there’s a hole in our product line. So that’s reactive. Our product development team constantly checks out our competitors’ products. Also reactive.

Once we have a new idea, we look into the ingredients we need and figure out where best to source them from; proteins come from Europe and the U.S. Our quality assurance team obtains samples and categorizes them. We get a price for the few ingredients that meet our standards, which are very tough. The best price for the best quality wins.

BBJ: Everyone here seems healthy and in good shape. Do you all use BioTechUSA products?

BL: I do. Everybody does. We know what goes into our products and we trust them.

Photo by Everything You Need/Shutterstock

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