ROO roots sustainable agricultural technologies ltd

Ann: Roots launches new small scale RZTO System, page-5

  1. 100 Posts.
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    You mistakenly think ROO are going to take a middle man out of the retail food chain, while overlooking the additional middle man about to appear in ROO’s path to market. By their own admission, ROO will need a dealer network to have any chance of success in this space. Those dealers will require 25-45% margins on ROO products = less profit for SH.

    The fresh food market is rapidly moving away from your definition of a vertically integrated model. Their definition of vertically integrated are those that grow, pick, process, pack and market (wholesale) their produce through a shrinking number of outlets (they call them chainsaws and you call it Coles/Woolies).

    Hobby/home farmers are hardly the beacon of tech adoption you describe. How many home veggie patches have automated irrigation, climate control, soil moisture probes, NDVI sensors, leaf tissue analysis, robotic weeders, fertigation, mating disruption pheromones, etc?

    This is a last ditch effort to try and pivot the business model to justify the inevitable capital raise on the horizon.
 
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