I believe Bravo may have the capacity problem solved. They have another bottler in negotiations and were at least 50% sure last week they had a contract ironed out. I think the name of the company is something like Hood. The bottle for one of the other chocolate milk companies. Either Hershey or Nestles. We will probably hear more about it at the cc tommorrow. JMO..BDG
Just found that some of this was partially addressed by Warren in the Q&A of the August cc:
"We have developed some new bottles that will work in various vending machines that CCE has. I'm not going to say that all the vending machines that CCE has in place can accomodate our product, they have various kinds of vending machines; some will and some won't, but we are developing bottles that will accomodate more of the machines that they do have.
Schools and vending is one of their focuses, that we're very excited about. However, it would be constrained by the capacity of Jasper.
If you have never worked for CCE.... that is basically how it goes...
Remember mad river ice tea.... I think that was the name of it...CCE wanted that SoBe market..
I am sure there are many that will agree with me..especially on the Cold Drink side...
The key word... execution.
It will be a tough sale into some.
Current production is 2.5m/month, ramping up to 7.5m/month in April, that ramp-up referred to as a "commitment" with JasperThe ramped up.
April... school is out in June. Thank god for the long code and shelf life. I have sold this on the street already to Full Line Operators who do not like it. Many, because of the price, if this product is not a required slot on a machine... it will be a tough road.
The question is how many schools are on full service with the local CCE and and how many are handled by a local vending companies ?
What will be the vend price from the machine ?
$ 1.50 ?? $ 2.00 ?? I know that no one thought that water would sell for a dollar ? The other question is; How well does it vend from the current bottle machines ?
I sold it into accounts that had bottle drop glass front machines. Additional cost for shim kits or spirals for the existing bottle machines;consider that. This product will not be in any schools until next fall. By the time it rolls out, it will be February, I am guessing; then by the time that the kits come in and the program has been issued to the full line operators, sold into them and the schools,then the machines will have to be prepped over the summer.
Reality.........it will take that long or longer to get it completed and everyone on board.
The only sales that you will see will be in C Stores.