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Pure_Greatness

08/18/14 11:21 AM

#30387 RE: NASCOW #30385

Thanks I have to say I agree with most of what you wrote here.
Does anyone here know how PB found CIRC and how CIRC got to be the exclusive PBED maker? I have wonder that myself many times. CIRC wasn't in the beverage business so how did they even get on PB's radar? What was it about CIRC that made PB say this is it?

Off the top of my head (1) consumer perception [novelty] (2) Funds …are problematic
... powerful distributors jobbers &wholesalers utilize well trained sales teams to control markets and shelf space; experienced distributors know novelty categories usually translate to weak sales and limited appeal; as a result large distributors are reluctant to make those type of products top priority ...unless you make it worth their while;
Mfg incentives [promotional backing, advertising, commission &margin] all play their respective parts in getting your foot [product] in th door…

next up… the box store, super mkt ect incentives [POP incentives, margins, rebates, promotional product ect] – you have to pay to play if you want that desired location or shelf space … backdoor distributor promotions, such as discounted product combinations, part of a weekly / monthly sales program [usually tied in with other established products backed by demo’s / free promotional merchandise] are often utilized by established distributors to grow shelf space … without enormous amounts of cash to back product promotion; and trusted established distributors with strong retail relationships to promote it, very few [of the thousands] products introduced to the shelf survive the limited market trial period or th wrath of competition

Bottom line, unless it’s new, sensational, trending or fronted by an incredible imaginative ad campaign …you’re left begging and fighting the established brands for space

Yes, there are always creative solutions, but that would require executive sacrifice, imagination and money; and still, you’re left with pushing on th family market place a logo emblematic of outdated sex appeal [novelty] …IMO

If their facilities pass specs &funding allows, the focus of co should be to promote those facilities; expand private labeling and push for subcontracting larger brands; best join as many trade & beverage associations producing trade shows b/c it doesn’t look bright for a small distributor of a “stand alone beverage product” in today’s market

Did PB take the time to review the facilities, the financial background, the reach or the experience of this company before entering into a mfg / broker / distribution contract? …maybe PB just felt charitable?

MFlores

08/19/14 6:56 PM

#30393 RE: NASCOW #30385

With only 3 FTE my guess is that CIRC does not even have their own bottling operations - they must contract it out.