News Focus
News Focus
icon url

just_an_ant

04/01/11 1:26 PM

#164073 RE: brpoker #164064

I believe you to be wrong; hypothetically speaking if it was 'true', it would have had to carry a 100% profit margin which isn't possible with a consumer product (because there are costs to manufacturer it etc).

1 million rev = self sustaining... thats what i believe eric said a few years ago...anyone care to take an educated guess what break even is today?



If operating costs are around $1.5 million, it would be $3 million in sales assuming a 50% gross profit.

If operating costs are around $1.75 million, it would be $3.5 million in sales at a 50% gross profit level.

Two USA national retailers with approximately 4,000 stores between them selling on average one large bottle a day for a year at $4.50 (wholesale) would equate to nearly $6.5 million in sales just from these two retailers. Just one such retailer could potentially lead to WNBD being break-even over a period of time.

That is the 'quickest' yet very tough path. Another way is to increase sales via existing relationships (Canada national accounts most notable of which racks, demos, etc. are a good block and tackle technique imo) as well as retailers/distributors (USA or International) willing or exhibiting strong mutual partnership characteristics in seeing the brand and sales grow for both parties (Lancaster, Progressive, Roma, etc.)