I suspect the product sold thru walmart will NOT have it's quality compromised but MIGHT have separate supplemental branding on the cans or bottles. I'm sure walmart did get "a deal" but since this is a unique product I expect the ginger beer sales will still be profitable for ROX. Expect the gross profit margins to get pinched a bit as sales to walmart ramp up. We will more than make that up in volume. I'd say way more.
It is possible that after a year or so, walmart might try to introduce a generic ginger beer to see if they can increase their (walmart's) net margin and perhaps cannibalize some goslings sales. To the extent that we can introduce Goslings rum at Walmart and Sam's stores that will be great, but we do not know that we are not already there. Having the rum is a support for sales of the genuine goslings ginger beer.
Blue, are you suggesting that the Pepsi in Walmart is a substandard soda to that found in the supermarkets. Ginger Beer is already sold in supermarkets all across the country.
It's not like Jefferson's with the regular, reserve, and presidential brands, or like Mercedes-Benz prices start at $34,475 for their entry-level C-Class model. T
Remember that our Ginger Beer is characterized as soda. Goslings and ROX would be moronic to lessen the quality by watering it down.
Having dealt with Wal Mart, Costco, etc, forever with huge companies, I would say it's likely the product itself won't change, hard with beverages and expensive. The serving size and packaging is easily adjusted. But, Wal Mart specifically makes it very difficult to squeeze out a profit, but, placement, shelf space is expensive, is good advertising and can create cash flow, lower production costs, if it sells, doesn't expire, and so on...
News 
Market Data 
Discover 
