This is fun and exciting as many investors and SMKY shareholders (and their families, too) experience SMKY salmon this week, and so many more to be enjoying both our salmon and riblettes over the holiday weekend. In viewing the many happy comments I'm receiving by e-mail and seeing in the IHub posts, I feel it will be beneficial for investors and SMKY shareholders to more fully understand and comprehend the financial marketing dynamics in play now with SMKY and its Internet launch plan. How simplistic our plan is, yet affording us the potential for explosive revenue scalability.
Salmon, with its meaningful Omega 3, high protein, low-carb, and cooking versatility benefits, has evolved into a consumer demand of enormous proportion encompassing virtually all demographic profile segments that drive high consumption frequency. Smoked salmon has been commercially produced and sold in stores for a 100 years and is a billion-dollar industry, and yet its attainable market scale has actually been limited due to the high concentrations of sodium and sugar, and the dryer texture that results from an essentially toxic commercial smoking process. A true market niche exists for smoked salmon that could be mass-prepared in gourmet restaurant-quality manner...
Consumers need only view SMKY's package label to see - from the ingredient statement and nutritional panel - that SMKY's unique & proprietary "Smoke-Baking" process does, in fact, produce such a qourmet restaurant-quality product. Tasting SMKY's goodness will be even more of a motivation that drives sales. And, the really good thing, is that smoked salmon happens to be the most enjoyed and profitable product item for SMKY to produce - it's the perfect product launch platform! Therefore, SMKY's financial marketing dynamics become simple:
> The "target" marketplace for SMKY salmon includes upwards of 30 million consumer households (Weight Watchers alone is 6 million);
> The average national retail market price for commercial smoked salmon ranges from $19 to $40 per pound ($6.75 for a 4oz fillet is average = $27 per pound rate);
> SMKY's "existing" smoker-oven system can produce 300,000, 5.5oz entree-size portion fillets per month @ $9.75 = $28.50 per pound rate (very competitive price for SMKY quality);
> SMKY's monthly [salmon] sales revenue capacity = $2.9 million or $35 million annually @ 25% net profit margin or $8.7 million;
> Just 15% of SMKY [salmon] production capacity being achieved will put SMKY into profitability & growing per-share earnings;
> SMKY spends $50,000 per month in advertising & sampling promotional costs to acquire on-line customer base that could utilize full capacity in a matter of months;
> It's just the beginning - SMKY commences to install more ovens as distribution grows and new menu items are introduced; each $500,000 oven system yields $60 million annual sales.
The SMKY revenue show is now having a successful sneak preview with our special summer promotion; the grand Internet opening is coming soon to a computer near you...
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