Replies to post #72435 on Winning Brands Corporation (WNBD)

[just_an_ant]

Would you like a straw with that

Bottom-Line #1 : The Gross Revenue to wnbd can't possibly be even 50 cents per bottle. They would be lucky to get 25 cents

One, you don't know what Gross Revenue is? The pure definition and how it relates to WBC.

So if WBC gets .25 cents; what does it pay Surefil? .12 cents a bottle? ROFLMAO

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Yes the cost to small retailers are more because they get smaller item quantity shipped to them and unfortunately they charge consumers more as well (to cover costs of business). So instead of being $9 (MSRP), you might find it $10 or even $11 at a small local level store (to cover their costs and make standard profit margins they expect) especially if no "big boy" competitor in area to establish high supply (which would equate to lower MRSP to consumers).

Even one step further, buying local is better then buying online at times for one bottle; who would pay $10 a bottle then $10 shipping?

The cost to national account are not even close on a "per bottle charge". They buy in VAST quantities have regional distributions center, and those product are shipped to stores with a plethora of other restocking orders. So freight, etc. is much less per unit. The national accounts deal in "quantity" and thus will price generally according to MSRP or below (for weekly specials).

National accounts will put pressure on local ma/pa stores to drop their price to be competitive (meaning little guy gets squeezed again), or if price isn't that great of difference for convience customer/shoppers will still shop a local ma/pa stores.

Ever heard of using smaller fish to catch big fish? A lot of trends/products get a start local (decision making is easy at one owner businesses), when on verge of being popular you can be sure all the big Nationals want to be stocking it and selling it.

[deerfield]

From Extra:

"Also ; the wnbd product is not even a 'repeat item' for 99+%
of its probable retail customers. Because Hardly Anyone
Actually Uses Up A 32 ounce can of stain remover."

You are totally wrong here!! I gave 32oz bottles to friends and relatives about two months ago, and they are looking to buy more. BECAUSE of the many, many uses for the product.

One person uses it to clean paint rollers that he used to throw away after use. Now he cleans most of the roller with water, and uses WC to take out the rest of the paint.

One uses it as a hand cleaner, another to clean oil based paint from brushes after use.

So you are ALL WET!!!

[crashman]

extra,
As usual you are making very good points and your DD is another A+ :-) !
A couple of additional comments if I may:
1. I agree with your 'profit analysis', of course we don't know the real numbers, but we do know that Surefil is actually producing the product and WNBD does nothing but promote and distribute the product. A typical setup of this kind typically produces razor sharp gross profits and as long as the volume is as small as now (<$1 million revenue/year) there is no chance of any net profits. The increase in the OS is living proof.
2."But, if it accidentally becomes an annoyance to the big boys who already own the stain-remover market ; they will just buy a can of wnbd stuff , and have their chemists ~copy it "
No need, the product seems to have the typical ingredient that every other similiar stain remover uses in it: drum roll please... Amyl acetate (banana oil)
... if you don't believe me just take a whif of it.
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