Q3 2016 - Investor Update
- Sales grew over 20% in Q3 compared to Q2, which was our previous record sales quarter.
- The Blueberry Chia Buckwheat muesli landed a rotation in 30 Costco club stores. Two truckloads of 32-oz pouches will land in Minnesota, Wisconsin, Iowa and some Illinois stores the first week in January.
- Our Squares are now available in Wakefern (ShopRite) stores throughout the Northeast.
- Final R&D on the two new Peanut Butter Squares was completed, and the first production run is scheduled for January.
- Amazon sales have increased five-fold since hiring a broker.
- Our partnership with the Sheridan Story and Stonebridge World School kicked off in September. We fill about 135 backpacks with healthy foods each Friday to help fill the weekend food gap for students and families in need.
- After experiencing some quality issues with our current manufacturing partners, we have been looking for a new partner. We are in final discussions with a company in the Northeast that would greatly improve our quality controls and reduce our costs.
- Lisa Wendling is no longer with Seven Sundays. We made a tough decision to refocus our marketing efforts on further developing our brand and pare back on the localized “grassroots” efforts that proved difficult to scale. Lisa is destined for great things no matter where she is but will be sorely missed!
- If you have not already, please review us on Amazon – link to instructions here.
- Review us on Facebook – head over to our Facebook page and give us a glowing review!
- Store Checks – If you spot Seven Sundays in the store while shopping, we’d love to see pictures! Snap a photo and text it Hannah (612-562-5316).
We experienced a record sales quarter in Q3 2016. We launched into several new major retailers, most notable being Sprouts nationwide (all three product lines). August and September have historically been larger months as it is our last promotional period of the year. We definitely saw this in September, when our sales topped nearly $200,000.
Our costs are in line with our budget with a handful of exceptions. One-time free-fill costs exceeded last year and our budget due to the impact of new Sprouts and other new distribution with demanding retailers. Our shipping and warehousing costs were also higher than expected. The new co-packer with whom we are in discussions is full-service and would result in efficiencies in this area. Offsetting these higher costs were lower ingredient costs, which we have benefited from due to better purchasing.