Now. some 5 months later chuckpalot, Wayfair AGAIN posts higher infastructure costs than revenue.
The recent news stories regarding Wayfair have been primarily about ADDING infacstructure, with the additional drain to the bottom line.
SO NO PROFIT.
Please give your comments as to why after 5 months that there is NO Shock and Awe.
Spots on cable, placement with Whole Foods at least in Southern New England, and an appearance in the recent flyer of Bed, Bath & Beyond. The Soda marketing team is now spending monkey in the US market. It takes money to make money. Good news for those who believed in the product.
The results to be completely valid for close analysis should measure the sales, units and profit performance thru the COMPLETE 2nd and 3rd quarters. Therefore, the trend of reorders, customer repeat sales of syrups and carbonators would yield just exactly what Soda is worth both in PE and book value.
Hopefully, Soda can get the ball rolling and have Whole Foods and others expand thruout key metro areas accoss the USA. There should be cable spots on many cable sites. Unfortunately, this is an election year, with Cable Companies charging higher rates, focusing on BULK buys of spots for prime time.
For Soda to fill the dreams of longs, this is THE Make or Break effort.
Looking forward to the results in late October/ November.
Thank you for your reply of the WFM limited placement. As with comments made by Motley Fool that the 1st qtr for Soda would have followers looking for the company to have "a lot to prove" that things were turning around. Certainly with a look back at the quarterly reports from 2013 and 2014, Soda has lost a tremendous amount of sales $ in the Americas. So , I sit on the sidelines waiting for the next SIX quarterly reports to see just what can be rebuilt/ relaunched in the Americas. Currently Soda is virtually nowhere with the exception of BBnB and a few regional grocers. Soda will have to BUY shelf pacement with major retailers and build a SOLID record of high sales per sq ft ( * ) to reach and fullfill the dreams of longs. Good luck to you, Jim.
( * ) a walk thru the beverage aisles, waters- still, flavored, energy drinks, teas, iced coffees, beers, IPA ales, juices, organic blends, and coconut waters show that hundreds of linear feet of shelf space exist in major retailers where the battle for top dog spsf sees product placement changing weekly. With 1% marketshare it will be a VERY difficult venture for SodaStream.
The continuing questioning of JUST WHEN Wayfair will post a bottom line PROFIT might just be the answer for today's trading...and IMO for many days and weeks to come.
regarding the oomment about Whole Foods....
PLEASE provide a aource oh what media this was reported in.
A Google search of this at 3:51pm EDT today, djd NOT Provide any confirmation of this.
It would be prudent to phone several Whole Food locations in ME. Conn, and metro Boston to confirm this.
will trade in relation to that profit % of sales. Home furnishings and in particular FURNITURE items have a very high costs of storage, shipment, breakage during transit, and higher amount of customer complaints making the COST of infastructure RISE. The question is : Just what % of the business is W willing to risk the impact of merchandising increased SKU's of furniture.
Meanwhile the questioning will continue to keep the stock price fluctuating widely.
Note the share prices of others in the field. Pep, Ko, dps, mnst, all are very close to their 52 week high.
Why would any major corp want to invest in a segment that is so small and more importantly....
..been rejected by the largest grocery and beverage retailers.
Potential investors will put off by the high operating costs of and the weak bottom line profits.
There will be NO deal, buyout or joint venture in the months ahead in North America.
and make some money after buying at the sub $14.50
sell before the MEH trading sets in again. There will be opportinities again at sub $15.50
As far as advertising goes, that 3.2 million $ profit will not buy much, except on low audiance channels such as CNN.
the spike was the exurberance over reported higher sales volume. But overlooking that a bottom line profit was not made. Days ahead will be clairification of what is growing faster,, Salss or Profita.
the result of not being in a product position that resinates with the North American public. And, as such does not appeal is retailers to position the product on their shelves. What consumers do not see, or see advertised, they do not seek out and BUY. Nor does the small amount of users buy frequently. Retailers seek turnover, turnover for PROFITS. SodaStream has failed to show that in a most locations, therefore major retailers dropped the product line.
the reaction to...
Wayfair's growing costs of infacstructure, without solid signs of posting a BOTTOM LINE PROFIT.
The humerous part is what is meant by "over time". Measured by looking at a 2 year chart is a place to start.
it is now 3 months later, there is STILL a lot of DOUBT that W will post a bottom line profit.
IMO there is a strong possibility that W will post a far slower rate of sales growth. Meanwhile as the share price continues to linger flat-lined, supply vendors are offering and diverting unsold inventory to big box retailers.
Noted by the continuing low trading volume on Nasdaq. Soon, this may be pulled and put on the pink sheets.
Noted by the almost total absence from the shelves of retail venues in North America.
There is NO interest by other corporate interests to buy the SODA operations as IMO: It would cost MORE than the company is WORTH to set it into a viable enterprise. There is NOTHING about Soda that could not be done by an existing corporate entity in the beverage sector.
In the meantime, waters in various forms, flat water, flavored waters, energy drinks, flavored carbonated waters, juices, coconut waters, beers, ales, IPA ales, brew pubs, and tea shops have and are expanding in EVERY retail setting that has retail footage in those categories.
Travel the highways of America, those beverage categories are EVERYWHERE, in cities, towns, and on the interstates. But, note when one picks a retail venue to observe....
JUST WHERE IS SODA?
Total oblivion for Soda in North America is just around the corner.
...the W share price is having a difficult time going over $41. A bottom line profit showing soon, it looks continulally doubtful.
Yes, this is my opinion. But here in the USA, Soda is increasingly difficult to find on retail shelves, nowhere to seen on marketing media, what little commentary is made in Financial media is almost entirely negative. With approx 3 weeks to go until the 1st qtr results are posted, it would appear that the situation continues to become bleaker when viewed as a product among North American consumers.
The logistics team is having a difficult time working with retailers to devote shelf space to a product line up that has a record of low sales per sq ft and weak, and slow inventory replenishment to the few locations that manage to sell some. Carbonators still are not regularly available according to Yelp reviews and on SodaStreams consumer comments blog.