2016 Year End - Investor Update
2016 "Top 10" Highlights
- Topped $1.5 million in sales (70% growth), including best Quarter in history (Q3)
- Launched new Squares (approximately $175k in sales) - the first muesli bar in the US!
- Introduced new Cocoa & Coconut muesli (approximately $100k in sales)
- Raised $1.6 million in growth equity
- Notable new key accounts: Sprouts, Kroger, Safeway, Giant Eagle, Natural Grocers (first bulk muesli customer) and 4 new Whole Foods regions
- Successfully defended our turf at Target against Kellogg's and General Mills who both launched a muesli (we were leading muesli brand).
- Transitioned entire line to gluten free
- Achieved Non-GMO Project Verification on all products
- Filled 2,400 backpacks with the non-profit Sheridan Story
- Executed our first Costco launch, and sales off to a 'very, very good' start according to buyer!
- Target store reduction – 1,800 to 350 (~$200k annual sales lost)
- Squares start-up lessons – quality issues and high labor/packaging costs
- Fulfillment costs – third party warehouse costs higher than expected
- Price reduction – 17% price reduction was implemented on 1/1/16. This was hard to swallow and harder to implement than expected but appears to be working very well with Safeway and Sprouts
- Shifted marketing focus away from bloggers, brand ambassadors and events to invest in the brand and digital marketing.
- $3 million in gross sales (100% growth)
- 20% gross margins, after free-fill and deductions
- Secure a long-term strategic capital partner
- Transition to a full-service co-packer
- Implement a brand refresh
- Introduce a hot cereal line
Gross Sales By Quarter