stock, page-565

Exactly! This is interesting, I was reviewing some old stock photos from late Feb (23rd) that I took, and at that time, this store was only stocking 2 tins wide of each stage, so 6 shelf facings in total. Now, and for the last few months it's more like 7 x 2 = 14 shelf facings. So BAL has over double the stock on display and still selling out...

It's a finer point for those not from a sales background, the way to increase the risk of a product being sold is either to add a new distribution point in terms of a new store/account or to increase the amount of shelf space (or to leverage position, like isle ends) you have with an existing customer. The former is reported by BAL and after increasing by 25% or 1000 outlets in H1 2016, now stands at over 4000. The increased shelf space part is not reported, although it has a significant impact on sales volumes. More shelf space = more sales as a general rule. Also, products that are selling fast, or selling out, get allocated more shelf space.

So it's a self reinforcing cycle, more sales gives you more shelf space, which gives you even more sales, that's turbo charged even further when the whole pie is growing rapidly, as IF sales are.

This is why BAL's revenue (and A2's for that matter) is growing/or has grown so quickly, they are growing distribution & shelf presence, in a growing market, as well as growing brand awareness.

Simply put: more sales = more sales = more sales! Success begets success, money makes money, that sort of thing.

If you are on this path, it all looks easy. But the likes of Natures own & Devondale (& Blackmores) are starting to realise it's a feast or famine category...