Looking forward advised!29 Jul 2023 13:33
Suspect all eyes should actually be on what’s to come in the near future, not on a period of time that is clearly very different (and poor of course) to what is happening on the ground now.
Callum has repositioned the business, cut costs, cleared out the shi7e and has a significant sum of cash (£3.7M as of April) to push forward his vision. So far he has done exactly what he said he would do and now must be given the support to help continue this transition.
What’s to come:
UK vapes this summer (hopefully next week!) and we know he’s got a significant sales team ready to go for the mass market nicotine free diffusers/vapes. We can’t forget the benefit this will have to UK shareholders being able to pick up their Chill vapes in stores up and down the UK. We know the UK market is crying out for highly compliant, healthier vape options to support further smoking cessation alongside much larger puff counts to heavily reduce the environmental aspect. I really do think some larger uk retail will latch on to that and we could displace a few questionable brands already stocked in major retail!!
US vapes seeing sell-through at far higher rates than prior Chill products and in pilot sites developing clear data to present to larger US chains. The roll out is clearly being worked in a much more strategic manner not like the last roll out of throwing product into every store and hoping for the best. As we succeed in certain states and smaller scale we can then push the boat out informed by the data we have.
We know the margin is very good on these vapes and Callum is set on driving profitable sales, with a rein on where cash is spent and invested.
The Chill marketplace also gives us an incredibly low cost model in which to drive traffic from new and existing brands and ‘cross pollinate’ (Callum’s term) the growing customer base to vapes or any other products we sell whilst picking up a bounty for selling. It will work, but will take time to build up, but no issue with that as it’s as close to cost free as a business model will come.
We’ve also got to no doubt expect some big marketing pushes in the coming weeks to promote all the above. Ultimately if you are buying now, the shi7e is out the way and you can buy cheaper than before all these distribution channels were announced, with a high amount of optimism for the next few months and beyond!
Will no doubt be a few extra surprises along the way too as I know Callum’s focus is on some other key geographies from Europe, UAE, Egypt etc and we have the scalability in our current supplier to go through the roof if we get the right demand! His previous interviews are well worth another look! DYOR ; )
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