Winning Brands Corporation (WNBD)

[Serenity]

Let's make this clear ERIC NEVER ...EVER SAID WE WOULD HAVE A NATIONAL RETAILER PR IN AUGUST...this is the post that will explain where the August date came from.... TJG now works for WNBD...


Posted by: kiwi02 Date: Tuesday, July 08, 2008 12:25:36 PM
In reply to: monicaland who wrote msg# 39762 Post # of 42524

FYI: [Repost from 2008/06/26] from the other Site posted by TJG

Re:WNBD : Roadsigns - 2008/06/26 07:41 am
Jumping cat fish, as the saying goes, I am getting bombarded with PM on this Aug deal.

For all to understand let me explain how I come up with this....its not from the company, its not from being told any secrete information from some retail source..its from doing my DD. Let me explain if I can. For months we have all figured that Home Depot was the target, based on the fact that we are in HD Canada, so HD USA would be the next deal to go down.

Using that assumption and then putting it together with my retail back ground I come up with this.

I stated a long time ago in several posts that you just do not walk into a national retailer and say "Hey we have this hot new product, want to carry it, great we will send you some product"

Retailers like HD, Wal Mart, supermarkets like Kroger, they are given new products to consider every week of every year and they have to deside on the few they will take. This process is a very time consuming one. The retailer looks at an aray of numbers, and information that is presented them by the company's trying to get their product on the shelf. Once they have said they are going to take your product, they just dont phone you up and say "Ok your in, get us what we need"

They then do in the industry what is known as a catagory analyst. This happens only 4 times a year, once each quarter. They look at the catagory your product represents, in our case the cleaning catagory. They look at every product in that catagory, find the weak links, decide on which ones must go and then look at the new ones they want to bring in.

It is apperant that many investors do not grasp the fact that the inside of any retailers store will only hold X amount of product. Shelf space is not something that can be stretched, it is what it is. If for example the average section where Winning Colours goes is 24 feet long that will not change. All of the products in that 24 feet are analyzed and then they eliminate the slow movers using the catagory management method.

Now here is what can keep us at bay, if in this section they remove 5 slow movers, but they have said to 7 company's we are going to take your product then two of the 7 must wait until the next go round, as they only take 5.

Now think back to Eric letter where he said he would not give more then what he felt the company could afford just to get us on the shelf. Now understand this...HD goes to the 7 and says we can only take 5 of you, who is going to offer us the best deal to get in. That means who will give us free product, who will cut our cost down to buy your product, who will sell them selves out to get in.

Eric says not us...so the proposed April deal is now put on hold...we are told by the National Retailer we are in, then they come back and tell Eric, well you are in if you give us this, this and this. He says no, we will let our product stand on its merits and will continue to promote it in the best way to ensure our company does not suffer.

This set back does not mean the we are out,just that we need to wait for the next time they bring in new product. That would be August, here is why. In May they run the numbers of all the product in the section from ALL of the stores...its a long process...June they pour over those numbers, July the notify the compnays, Aug they are shipped the product and its put on the shelf.

In all my years of experience as a buyer and a person who know how this system works....NO COMPANY WHO WAS PICKED AND MOVED TO THE NEXT QUARTER HAS NOT BEEN AN AUTOMATIC PICK ON THE NEXT REVIEW. Also for those wondering what if no products dont fail...that also never happens..NEVER..

So there for I am saying WHO EVER THE RETAILER IS, we will be there in Aug....that is how my personal DD works on this...I am as I have in the past, letting all of you know what I think will happen.

My prediction is not based on any information other then that....look I do some consulting work for them, but I am not a member of the management team and they most certainly do not tell me information that would make me an insider....and if they did....do you all actually think I would then put out posts that are so obvious even a 8th grader could figure it out. Hello I would have Martha Stewarts old cell if I was to do that....its all based on DD and nothing else.

Hope that clarifies some of my comments for you. Good luck....oh and dont forget this company has a lot of other things going for it and is still worth the investment. Keep an eye on Smart Clean and Track Moist and watch the shorts and how they effect the stock. But be patient and you will be rewarded.

Greetz
K