Australia's largest stock trading and investment forum Australia's #1 stock forum

TGR

Click for more information

0.00%

$5.22 tassal group limited

Tropic Co prawns in WOW supermarkets, page-6

First 6 Last

Share
Profile

Follow
McQuade

1,511 Posts.

517

03/12/20

19:36

Post #: 49329415
Share

Originally posted by Hopeful9: ↑

It'll be interesting to see if they sell well.

One problem may be that many shoppers in supermarkets expect prawns to be in the 'service deli' section, so if the TGR Tropic Co two kg packs are in the freezer section, consumers may not even look there.

However so many look online at the WOW catalogue, plus they'll see the product displayed if a search is done for 'prawns'.

At some stage TGR may agree with WOW to offer these at a promotional price to further grow consumer awareness, but pre-Christmas is not the time for that. If I was TGR I'd have a note put on any promotion 'from the freezer section' or similar.

A huge plus for TGR wil be its ability to consistently supply WOW. Even if only one pack per week per supermarket was sold and it's in say 800 of WOW's 1000 plus stores, that's about 7000 kilograms a month in TGR sales. I don't know what the cost per kg of production (including allocating some Tasmanian head office costs) while freight is another expense, but hopefully it's a reasonably solid addition to the bottom line.

Expand

$6/kg ebitda margin (or thereabouts). Almost triple the margin of salmon.

TGR Price at posting: $3.52 Sentiment: Buy Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

3DA

To make modern missiles, you need 3D Printing. And in that gold rush, Amaero is selling shovels

HAS

Yangibana 33% complete says Hastings, as it provides clarification on funding

BIO

Biome reaches intellectual property milestone in strain development program

IR1

Iris Metals jumps +22% as NASDAQ's Stardust probes economics behind possible offtake

RSG

HotCopper reacts as Resolute Mining told to pay US$160M if it wants its CEO back

There are more pages in this discussion • 198 more messages in this thread...

First 6 Last

Add TGR (ASX) to my watchlist