DCFF Announces Long-Awaited Q
Diet Coffee Inc. (OTCBB: DCFF) announced their financial results for the quarter ended 3/31 today and the results were actually a hair better than I had expected.
Revenues approached $350,000, just about the same as the corresponding quarter of '07 when the company was selling a completely different product, not yet the Ionic Bulb. This figure was higher than I expected.
One thing that becomes quite evident rather quickly while examining the recent Q is the need for the company to begin selling direct to consumer as it did in the past. The Walgreens and Amazon contracts are indeed invaluable for a company attempting to nationally launch a household consumer product. However, if the company can in fact begin airing its recently completed infomercial on t.v. and initiate some type of direct response marketing campaign, the higher margin direct sales could begin offsetting often lower retail margins.
All in all, I'm pleasantly surprised by the filing. The $350K in sales, although not monumental, is quite promising since the company's marketing strategy has not yet come to fruition. The advertisement has been shot, it just needs to be aired on t.v. and the company needs to begin taking orders both online and through, I would guess, a toll-free sales hot line.
This type of effort would also in theory create more of a "push" effect on consumers into affiliated stores such as Walgreens and perhaps create more allure for the Ionic Bulb in other retail organizations.
DCFF gave investors what they wanted with today's filing: a benchmark to judge future progress. I'll be watching closely to see how things progress here. The stock gained nearly 20% today after dipping lately potentially on investor concern regarding the late filing. I'll be curious how much investors are willing to pay for shares in the morning after digesting the filing.
Revenues approached $350,000, just about the same as the corresponding quarter of '07 when the company was selling a completely different product, not yet the Ionic Bulb. This figure was higher than I expected.
One thing that becomes quite evident rather quickly while examining the recent Q is the need for the company to begin selling direct to consumer as it did in the past. The Walgreens and Amazon contracts are indeed invaluable for a company attempting to nationally launch a household consumer product. However, if the company can in fact begin airing its recently completed infomercial on t.v. and initiate some type of direct response marketing campaign, the higher margin direct sales could begin offsetting often lower retail margins.
All in all, I'm pleasantly surprised by the filing. The $350K in sales, although not monumental, is quite promising since the company's marketing strategy has not yet come to fruition. The advertisement has been shot, it just needs to be aired on t.v. and the company needs to begin taking orders both online and through, I would guess, a toll-free sales hot line.
This type of effort would also in theory create more of a "push" effect on consumers into affiliated stores such as Walgreens and perhaps create more allure for the Ionic Bulb in other retail organizations.
DCFF gave investors what they wanted with today's filing: a benchmark to judge future progress. I'll be watching closely to see how things progress here. The stock gained nearly 20% today after dipping lately potentially on investor concern regarding the late filing. I'll be curious how much investors are willing to pay for shares in the morning after digesting the filing.
Labels: DCFF, Diet Coffe Inc., OTCBB: DCFF
posted by "Staff" at
9:19 PM
