A-bloc is listed as the #1 best seller in Specialty Supplements on the GNC website. Over the past few months it has been up and down, but it has been in pole position for a few weeks now running. This may indicate that GNC has been picking up the majority of new orders for A-bloc. I think that given the choice, most would choose GNC over buying direct from Rock Creek, given the brand recognition and comfort that this brings to most consumers. I have always enjoyed the order tracking and believe it gave us some good early indicators. I think that now we should only see the order tracking on the a-bloc site as maybe 30-40% of the total. The last 10K stated that GNC was 51% of the A-bloc sales volume during 2012. As of the end of the 1st Quarter, A-bloc sales were continuing to grow Q over Q. Perhaps the ratio of GNC to A-bloc site sales are now 60-40 or even 70-30. From my experience, the people that are helped by A-bloc become personal brand ambassadors. I think we have a base of recurring customers, word of mouth, and incremental growth.
If A-bloc was an illegitimate sugar-pill, selling it for $80-100 per bottle would not be the way to go. If it were a fraud as many claim, the way to go would be to sell it for $20 per bottle and make the anatabine content negligible. Profitable from day one that way, until customers fail to return because it doesn't work. A company that believes in the product does multiple clinical trials, safety tests, and certifications with sports testing labs. A company that believes in the science backs the filing of multiple patents, assigned to the company, and protects its intellectual property. Check, check, and check.
Sentiment: Strong Buy
Well stated. You are correct in that GNC does induce change in buying behavior (transfer from STSI web site to GNC). Recall that the web site still offers Ab packages that GNC does not: 6-packs and 12-packs, along with the face creme. It may turn out that the decreasing volume of order #'s at the web site is accompanied by a higher ASP for each order.
Once the company begins CCs, we would hope they would keep us updated on the split of sales between GNC and the web site. Then it becomes relatively easy to calculate a prediction for a quarter's revenue.
Agree with you (thumbs up) except,
" If it were a fraud as many claim ..."
MANY? Relative to what? Would you say "many" are 1% of the people who've even heard of it? I'd doubt that.
And even if so, think about it. That's pretty darn good for something so unexpected, and, truly ... so to speak ... "unbelievable". To find an abundant (in tobacco) natural compound readily available whose properties with regard to helping human health are "off the charts" (of such things), and yet which remained almost completely hidden, thanks to its bigger, "louder" ugly brother nicotine, for a century or more.
And the guy who starts the ball in motion with regard to discovering its amazing properties and putting them to use is a former used car salesman with a lot of drive (pun), more than a just a little genius (ask nakakadodo ... that's his description), and a knack for pulling things together.
You are absolutely right izof - funny I posted and then thought I should have stated "some" or "some on this board" rather than many. I completely agree with you that it is more likely a very small percentage that believes it is a fraud. Most have never heard of a-bloc, but it is likely that many soon will.
I have always had a healthy skepticism when it comes to any and all products that purport to provide health benefits. But if I and my family/friends have good results, even extraordinary results, which matches hundreds of other first-hand accounts, that is the proof that I need. Clinical trial results will be the icing on the cake, but first-hand success is the most important to me to make me a believer. If we don't believe our own selves, who can we believe? Criminal short-sellers? (as opposed to law-abiding ones of course. I have nothing against selling short. I am against manipulation and unfair practices.)
Although Chippers tracking makes sense there may have been a shift.. If GNC was running each purchase through Star's system as indicated in March 2012 as a consignment sale and now GNC buys by the truck load in bon consignment fashion in one invoice you would cut invoices in half but the sales volumenwould be up. We will see in early August.
Why do we think there has been a shift to GNC. Because the online order rate has decreased? Seems like we are backing into the answer we want. We need to get some download from the company on sales trends & ratio's... and until then, this may be a concerning stat.