A smudge over six months since the launch of a2 in the US and I count around 800 outlets now selling within 10 retail supermarket chains.
http://a2milk.com/find/
550 stores or so in the foothold market of California and the rest distributed, mostly on the East coast, but across the continent, and even in Hawaii.
Perhaps, of course, they still need to ramp up sales into all those outlets but that’s a big push in a short time and I think, for what that’s worth, is indicative of a pretty solid start, would you all agree ?
Perhaps it’s even an endorsement, as retail shelve space is precious to supermarket chain retailers who make a profession out of managing shelf space priorities and margin optimisation, and to have 10 chains on board who will have completed by now their own market analysis and price ranging is good too.
It’s pleasing also to see that the a2 retail prices in the US are of a similar margin above a1 brands as they are in Australia, suggesting that US gross margins may play out to be similar, circa 35%.
They just need now to ramp up a2 farm conversion into that all that distribution and US tv marketing.
We should perhaps get a better update at the annual meeting in a couple of weeks.
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