Some valid points but I would argue that local sales / brand reputation matters a lot because it factors into how Chinese consumers regard the product. To an extent they are making inferences about the product's quality based on the idea that it is preferred by Australian parents.
The Australian market may be like 2-3k stores vs. ~30k stores that stock a2 products in China. However what happens in the Aus market affects consumer demand in the Chinese market. The actual daigou trade may have been disrupted somewhat but it doesn't mean that word of mouth, social media, etc. has shut down entirely.
So I would say visibility and popularity in the Aus market shouldn't be taken for granted, even if in some cases it means cans sitting on shelves in areas where there is slower demand.
Having said that I don't think they need to have a shelf presence in every store across Australia just out of principle. Especially in areas where there is very little demand at all. You also don't want to see inventory being put on clearance etc. as it undercuts pricing and does brand damage. They just need to find the right balance. The channel mix shouldn't completely neglect local retail.
Theft also is a real issue. Interestingly in my local Woolies A2 is always in stock but is the only brand that has the theft prevention devices. If, as noted above, store managers have identified it as an issue, then I have no reason to doubt it. Not sure why A2M wouldn't supply stores with theft prevention devices if they requested them. You would only require a certain number in perpetuity and, in a way, it's good advertising.
A2M Price at posting:
$3.93 Sentiment: Hold Disclosure: Held
(20min delay)
