Minerco Inc (MINE)

[KULiquidGold]

"Volume" and "Margin" on the Price Per Bottle is where we are headed Princster! Margin is key and based on Darin Ezra's comment in the CC, we've got MARGIN! One of the things from the conference call (there were so many...) that didn't get allot of air time was the "margin" comment mady by Darin. When you think about a company, all other things aside, it is the margin (profit) of their products or services that makes companies successful as we all know. If a company sold a product for $5 with a 2% margin, profit is .10. Sell a product for $1.00 (not sure what VitaminFIZZ retail price is yet) for example with a 30% margin, your profit is .30 per unit, a huge difference. Of course that was just an example, I don't know the margins on VitaminFIZZ, but Darin implies it is significant. I work for a large company with 1-2% low margin!

We could think that perhaps the VitaminFIZZ margin may be in line with another beverage company +/-. Here is Monster's!

Monster Beverage Gross Profit Margin (Quarterly):
53.50% for March 31, 2014 http://ycharts.com/companies/MNST/gross_profit_margin

From the CC note on MARGIN...
VitaminFizz is a great tasting product that features a price point that’s attractive to any level of consumer and a MARGIN that affords you promotional flexibility, which is totally required in this day and age. So further, I think it can follow on the heels of the amazingly successful Sparkling Ice brand and the imposters who try to follow it.

That one comment Darin made on the margin, that one sentence is extremely powerful. It tells me IMO, there is a huge margin with VitaminFIZZ. While the total sales volume numbers are very important, profit is what will really drive the PPS north, grow Minerco and Level 5 exponentially and set the company up to start the buy-back IMO maybe as early as the 4th quarter.

For us and until we see the price per bottle advertised online or in the stores, it is easy to know the approximate price point. The price per bottle answer IMO lies with the competition, Sparkling Ice. Go to virtually any store if you haven't already and check out their prices. Most if not all carry Sparkling Ice.

There is an old slide show for VitaminFIZZ suggested retail price. That gives a fairly good indication of the price point. However that slide show is somewhat dated and your best source for the current day's price point IMO is the competition. VitaminFIZZ's main competitor is Sparkling Ice and we need to keep the price point competitive.

I've been doing some recon work since the conference call. After hearing about the VitaminFIZZ competition, I had to get to know the product. I have been drinking Sparkling Ice every day since the conference call trying different flavors! It is a very good product and it grows on you, well at least it has for me! This is outstanding news for VitaminFIZZ. According to our king of beverage creator Darrin Ezra, VitaminFIZZ has a better taste, ingredients, brand and packaging!

The beautiful thing here is we don't have to go out there and break open a new market. We go into this established market with a better product and I'm confident we will dominate this sector!

As Darin Ezra said in the Conference Call..... So vitamin water meets Coca-Cola; carbonated vitamin water to compete with Sparkling ICE, which is the fastest-growing beverage in the country at the moment.

Having gone through this recon exercise and drinking the competition, I am more confident now than ever that Level 5 / $MINE will be HUGE! VitaminFIZZ is going to be some SERIOUS competition for Sparkling Ice, not to mention Vitamin Water for those that also like the FIZZ!

My synopsis on the VitaminFIZZ brand. It was said that VitaminFIZZ "slides in between" water, sparkling water and the vitamin enhanced products. THE BRAND VitaminFIZZ IS A UNIQUE PRODUCT "BRAND" IN AND OF ITSELF. A hybrid brand sliding in between and spanning multiple other products markets. It leverages all the markets listed below from a brand and product perspective. I feel consumers will look at the VitaminFIZZ brand and think of all of those products they have tried below and will be drawn in by the implication and appeal of the brand and ultimately the product behind it! IMO, the unique VITAMINFIZZ hybrid "brand name" will blow away all of the markets listed below and begin to take the lead 1-2 years out if not sooner as saturation occurs!

I believe VitaminFIZZ is more unique than Sparkling Ice even though we will go head-to-head with that product. The "brand" slides in between and spans at least the "Brand" Markets below! Sparking Ice, does not by its brand imply the healthy factor of ""Vitamin""-"FIZZ".

1) Sparkling Water (brand does not imply vitamin based)
2) Sparkling Ice (brand does not imply vitamin based)
3) Vitamin Water (brand does not include the FIZZ)
4) The VitaminFIZZ market. IMO, although competing directly with Sparkling Ice, has an "explicit brand name" in and of itself, slides in between and spans across the products above.

I would not be this passionate about the product if I didn't have the knowledge that Darin Ezra has provided on VitaminFIZZ by proxy!







Audio from the Conference call
http://audio.viavid.com/20140429-108939-minercores.mp3.

8K filing, notes from Conference Call.
http://www.sec.gov/Archives/edgar/data/1451514/000135448814002249/mine_ex101.htm.

Invest on your own DD, my notes are subject to opinions, errors and ommissions!