with a normal company breaking into the c-store/re
Post# of 15187
Posted On: 08/11/2016 12:41:19 PM
with a normal company breaking into the c-store/retail market - i might agree:
"First the stupid potato chips and now beef jerky! I am not a basher normally at all. I have 1.75 mill of shares in this company, but you know what this looks like exactly.... RMHB! After they couldn't do anything exciting they just started jumping to sell any other product they could like they're own energy drink etc.. WE DON'T NEED BEEF JERKY FOCUS ON WHAT YOU'RE GOOD AT. FFS"
however - the SMS dealer model is significantly different than the traditional large format distributor working the c-store/small retail businesses. having multiple products branded under one company offers significantly more revenue sources and increases the value of the dealership and potential revenues for both dealer/company. since the dealers are acutely tied to the company with respect to success - $HJOE doesnt have to rely on "convincing" a large distributor to get their salespeople to "focus" on one product (let alone a suite of new products) when those sales people are paid on commission and drive large/known product movers or emerging brands that carry high spiffs for placement/sales.
bigger picture - company is launching these products with cash on hand that is coming from either revenues or pockets that believe the company is moving forward significantly. they arent doing the convertible debt/toxic financiers and they are obviously willing to spend money/have a prominent law firm that believes in change of success that is taking the case on. both of these substantially differentiate this from RMHB. further - there isnt the significant headwind against pot that RMHB faced but that is a separate issue.
"First the stupid potato chips and now beef jerky! I am not a basher normally at all. I have 1.75 mill of shares in this company, but you know what this looks like exactly.... RMHB! After they couldn't do anything exciting they just started jumping to sell any other product they could like they're own energy drink etc.. WE DON'T NEED BEEF JERKY FOCUS ON WHAT YOU'RE GOOD AT. FFS"
however - the SMS dealer model is significantly different than the traditional large format distributor working the c-store/small retail businesses. having multiple products branded under one company offers significantly more revenue sources and increases the value of the dealership and potential revenues for both dealer/company. since the dealers are acutely tied to the company with respect to success - $HJOE doesnt have to rely on "convincing" a large distributor to get their salespeople to "focus" on one product (let alone a suite of new products) when those sales people are paid on commission and drive large/known product movers or emerging brands that carry high spiffs for placement/sales.
bigger picture - company is launching these products with cash on hand that is coming from either revenues or pockets that believe the company is moving forward significantly. they arent doing the convertible debt/toxic financiers and they are obviously willing to spend money/have a prominent law firm that believes in change of success that is taking the case on. both of these substantially differentiate this from RMHB. further - there isnt the significant headwind against pot that RMHB faced but that is a separate issue.
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