..the margins are much bigger if you make and sell it yourself of course. I will give you one example we were giving at 7up of Detroit in the 1990’s…obviously costs have gone up …but we made our products in Holland MI warehouse which had to be delivered to Detroit/Redford branch every day….they said that it cost only ten cents to make one 2 liter-! We had 7up to Sunkist to Hawaiin Punch to AW etc……Thats when we all knew we were not being paid what we could have lol. Back then we would run .99 cent 2 liters sometimes even .88 cents…and we would still make good money…...and yeah there is a ton of overhead and salaries and workers and transport..
..but they were making on an everyday price at Kroger who bought it for .70 cents to a dollar in this time and they priced their non sale 2 liters then around $1.29 on their Kroger shelf — 7up of Detroit was making like 500% on every 2 liter they sold!
… btw when stores run big sales they often lose money - but the thought is run a hot 7up or Coke 12 pack or 2 liter deal - gets customer in store…they lost on that but make on the other 50 items bought.
So owning and making your own brand, like we have here….is the best case scenario — by far as long as it sells……especially when each one of these Poppi and Olipop etc cans cost like over $2 EACH, or $48 a case! A lot of room for profit and bigger revs there for both the seller (VMHG/GUTSI) and the retailer…..when retailer is making money they are happy and want more…thats also why you see so many of these new gut-health drinks everywhere: there is a lot of money to be made all-around as the premium ingredients like GUTSI’s fulvic and humic and fiber and probiotics etc and etc.
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