Member Info for LGO-fan

A lot people here are a tad too much paranoid...,each time someone expresses a different Pov, the person in question is either a shorter or "a traitor" and it leads to name calling.

Sad state of affairs. And people thinking that a couple of critical posts will drive the SP down, need to get real. The SP is where it is because of CG's performance, so maybe the diehards should direct their frustration at BOD and not at posters. Direct it at the BOD and who knows, they may start performing...

should have been loads of lol symbols :-)

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He didn't say these products aren't good. He questions the price, knowing they buy in generic products which they sell at a very high premium. One may be optimistic this could work, and that is fine, but surely one can also see the risks here.

He also mentioned the fact the latest PR disaster is obviously painful to both the category and the company. What is wrong with that?

Seems like some diehards here would love to be able to control the narrative here and can't deal with pointing out some obvious risks

indeed.

I admire your optimism, but I can't see what is positive about this debacle:

1) the category has been discredited, creating doubt about these products and so what do we expect this will do to the sales?

2) Tit for tat will only make it worse as it will be rehashed again in the press hence more negative vibes

3) and usually once this starts, actions by the regulators will increase and they will say it is driven by efficacy and safety concerns

the issue is not about CBX, but about the category they are in. More negative PR will materialise because of the limitations in tera of clinical evidence that cbd delivers any clinical benefit. This is a really tough nut to crack

he has quite a large following so always better to have him in favour then against your investment

We live in a shallow world: the press can make
you, the press can brake you. Regardless off the facts, sadly.

Fact is though that the Category has gotten a serious hammering over the weekend and more will follow. This is a category with a lot of promise, but also a category that is - rightfully- under a lot of scrutiny. So regulators will tighten the thumb screws and demand all sorts of processes and data to be up to good standard. Approaching this business purely as an FMCG business is extremely risky. Risk
being the one thing this business needs less of

It is a very basic thing to have these procedures in place and quite shocking they can't sort this. If you claim to be better than the CBG world, at least get the basics to be compliant with regulations

not

"The FSA list does not assess the safety or nutritional value of items, just their testing procedures."

To me, once more, this demonstrates the total
lack of healthcare technical knowledge and expertise that is required for products with health benefits.

"The FSA list does not assess the safety or nutritional value of items, just their testing procedures."

This is about basic testing procedures, needed for all
health related products to demonstrate good manufacturing processes, having the right safety data.

Thinking that this game is just about creating pretty pictures and selling products at ludicrous prices is just too silly to be true. Monday isn't going to be pretty, peeps!

it's also very expensive to educate, you can't ignore that.
Plus the main point you acknowledge is they are going after beauty, not health and well-being (= what consumers want)

Plus if you want something natural, you don't want something made in a lab

Many, rightfully, see CBD as a growing category. And it is - zero doubt. The question is, what is it consumers are looking for and is the CBX product strategy aligned to this?

A couple of observations:

1. Consumers by and large seem to be interested in health (and wellness benefits).

"The CBD: Consumer Report highlights that 52%, the majority of consumers, are using CBD to help with sleep and relaxation while 51% of consumers are using CBD to manage health & wellness and to treat various health conditions"

Source: https://prohibitionpartners.com/2020/10/14/key-insights-cbd-consumer-report/

2. They also like the fact CBD is a natural solution. Hence you see lots of articles on websites that talk about natural products. See example below. Also gives you good insights into source of information for consumers ((key for the marketing strategy)

https://www.naturalproductsinsider.com/herbs-botanicals/rise-cbd-and-changing-consumer-behavior

I am sure you could find 100 articles like these online if you wanted to. Certainly not claiming these are must reads.

But, it does however pose fundamental questions to CBX 'a (product) strategy
1. Is beauty really what CBD consumer are after? Seems all about health and wellness

2. Consumers like CBD because it is "natural", yet CBX main claim is "we got ours from a lab!".

I really don't want to tick the proverbial (before the die hards start shooting again), but can you see my concerns here?

Dancingqueen76

The billboard looks impressive. True, but I seriously doubt this is the type of marketing investment required right now. Happy to be proven wrong, but seriously doubt this will deliver an acceptable ROI.

Agree that marketing tactics like influencer campaigns - though less visible to investors - will yield better ROI's, and are scaleable (once the winning formula is found).

You mention that Ana is focused on sales. But is she really?

All the marketing materials I have seen look pretty, but in marketing lingo they all appear brand equity building. I.e., long term investments with no instant ROI. Something this company cannot afford right now. Ana no doubt has an impressive track record working for big companies, but maintaining big brands with (almost) unlimited budgets is one thing. Building a business from scratch, is another all together. And I have not seen any evidence she can pull that off, I am afraid.

So, no: I don't see her focused on sales. I see her focused on brand equity, which i understand based on her background but feel is financially unaffordable. Get some more performance marketing attitude behind this business. Needs to happen pronto IMHO

I am surprised by your comment. Ask yourself this question: who causes more harm? Those raising caution or those spreading rampy nonsense?

If someone says that 9 out of 10 equity raises come good (by that I assume that the SP goes up), then please share the evidence. What reference or study is there to back this up???

Anyone who has invested for a while will know that the exact opposite is true. Equity raises kill the SP. Hence everyone here is defensive when cautious investors point out that in their POV, an equity rise is around the corner. If 9 out10 equity rises would drive the SP north, we would all be doing a funky chicken right now at the prospect of it!

People who make these 9 out of 10 claims, are doing that either out of incompetence (they don't know any better) or out of malice (i.e. spreading falsehoods to sucker PI's into buying shares).

beware of wolves in sheep's clothing!

hahahaha....hilarious! It usually never does. I base that on personal experience: a company raises equity....share prices usually drops below the issues price and Pi's see their investments dwindle. They money raised inevitably gets out to bad use, and they next raise happens x months later. Meanwhile the LTH keeps telling himself it's all for the good cause...surely I will make money in the end....the share price only needs to grow 4x for me to hit b/e....lol

All we can do here is wait for the unavoidable equity raise or a trading update. both will be a big factor for the SP movement. Buying before those 2 pieces of information seems crazy IMHO. The market seems to agree, hence the timberrrrrrr moment

more cash burn?!!

It's everyone's good right to be negative, realistic and or optimistic. People can express their Pov's here; that's what this BB is for. But to see a positive in today's RNS is...."special". Supply chain or operations....these are terms often used interchangeably... to see that as a positive, I find brave! It's neither positive nor negative if you feel these terms broadly mean the same. Anyway, enjoy the weather!