LAS VEGAS and VANCOUVER, British Columbia, Jan. 11, 2022 (GLOBE NEWSWIRE) -- TAAT™ GLOBAL ALTERNATIVES INC. (CSE: TAAT) (OTCQX: TOBAF) (FRANKFURT: 2TP) (the “Company” or “TAAT™”) is pleased to announce that it has consolidated reports from its distributors and retail partners in the United States as of the end of calendar 2021, and has confirmed all three TAAT™ varieties (Original, Smooth, and Menthol) are now sold in at least 2,000 retail stores in 31 states. Under the executive leadership of Setti Coscarella, whose career in the tobacco industry included the commercialization of alternatives to tobacco cigarettes known as reduced-risk products (“RRPs”), the Company has curated a nationwide network of distributors while concurrently establishing a robust and scalable supply chain for manufacturing TAAT™ in commercial quantities, including in-house production of the Beyond Tobacco™ base material. TAAT™ plans to adapt the strategies it has utilized to attain its current U.S. retail presence in markets within Europe and Oceania, as it begins to undertake its next international launches following the initial store placements of TAAT™ in the United Kingdom as announced in the Company’s December 17, 2021 press release.
Throughout late 2021, TAAT™ announced new distributor relationships in California as well as multiple markets in the northeastern United States. Additionally, the Company has specifically focused on its relationships with “cash-and-carry” distributors; a key supplier channel for independent retailers in which inventory can be purchased on a wholesale basis in a self-service “warehouse” format that is similar to membership-based retail warehouses such as Costco. According to 2021 data from the National Association of Convenience Stores (“NACS”), over 92,000 of the 150,274 convenience stores in the United States are run by “single-store operators1”, and the Company believes the presence of TAAT™ in cash-and-carry warehouses has contributed to its ability to rapidly penetrate this segment of retailers. Furthermore, as cash-and-carry wholesalers require payment on a “cash” basis (i.e., no credit terms such as “Net 30” or “Net 60” are offered), distributing TAAT™ through this channel could simplify the Company’s dependencies with respect to cash flow from its receivable accounts on wholesale orders.
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The Company has confirmed that at least 2,000 stores in the United States are currently selling TAAT™ Original, Smooth, and Menthol at retail and has updated the TryTAAT store locator (https://trytaat.com/pages/sca-store-locator) to reflect the latest known U.S. store locations as of January 2022. Please note that certain stores may not be listed on the TryTAAT store locator for reasons that can include differing reporting cycles from specific distributors (i.e., some distributors report store placements at less frequent intervals than others) and limited data from “cash-and-carry” wholesalers who do not collect the same scope of data as full-service distributors as part of their business model.
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TAAT™ Chief Executive Officer Setti Coscarella commented, “During the first year in which TAAT™ has been sold at retail we brought our total store count to at least 2,000 in the United States alone, across 31 states. As we continue to add distributors to our roster, we benefit from new opportunities to match TAAT™ with tobacco retailers through settings such as cash-and-carry warehouses, where decision-makers for independent retailers can be converted on the spot in a very similar manner to our sales processes at trade shows and conventions. Although being in cash-and-carry outlets has enabled us to very efficiently place TAAT™ in locally owned and operated points of sale across the country, this wholesale format does not always afford us the ability to capture the names and addresses of retailers who have purchased cases of TAAT™ on a wholesale basis. While this creates the potential disadvantage of being unable to list 100% of all TAAT™ retailers on the TryTAAT store locator, we consider it to be a consequence of growth as a national-scale CPG brand. It is for this very reason that even the most popular CPG products from the most prominent global brands do not have precise store-by-store visibility into where their goods are sold. After all, growing and protecting market share is a far higher priority than maintaining an exceptionally granular tally of stores. Since we have been able to affirmatively verify the availability of TAAT™ in a minimum of 2,000 stores in the United States, we are pleased that we have managed to reach this milestone in just over one year of TAAT™ being on the market, and our objective is to build upon this success in 2022 and beyond as we set our sights on new markets globally.”
Sources
1 - https://nacsmagazine.com/issues/february-2021/us-convenience-store-count-stands-150274-stores
On behalf of the Board of Directors of the Company,
TAAT™ GLOBAL ALTERNATIVES INC.
“Setti Coscarella”
Setti Coscarella, CEO and Director
For further information, please contact:
TAAT™ Investor Relations
1-833-TAAT-USA (1-833-822-8872)
investor@taatglobal.com
THE CANADIAN SECURITIES EXCHANGE (“CSE”) HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OR ADEQUACY OF THIS RELEASE, NOR HAS OR DOES THE CSE’S REGULATION SERVICES PROVIDER.
About TAAT™ Global Alternatives Inc.
The Company has developed TAAT™, which is a tobacco-free and nicotine-free alternative to traditional cigarettes offered in "Original", "Smooth", and "Menthol" varieties. TAAT™'s base material is Beyond Tobacco™, a proprietary blend which undergoes a patent-pending refinement technique causing its scent and taste to resemble tobacco. Under executive leadership with "Big Tobacco" pedigree, TAAT™ was launched first in the United States in Q4 2020 as the Company seeks to position itself in the $814 billion1 global tobacco industry.
For more information, please visit http://taatglobal.com.
References
1 British American Tobacco - The Global Market
Forward-Looking Statements
This news release contains “forward-looking information” within the meaning of applicable Canadian securities legislation. Often, but not always, forward-looking information and information can be identified by the use of words such as “plans”, “expects” or “does not expect”, “is expected”, “estimates”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur, or be achieved. Forward-looking information in this news release includes statements regarding the anticipated performance of TAAT™ in the tobacco industry, in addition to the following: Potential outcomes from the existing placements of TAAT™ in over 2,000 stores in the United States, the Company’s ability to continuously capture and publish information about TAAT™ retailers, potential effects of selling TAAT™ in cash-and-carry wholesale warehouses including benefits relating to cash flow management, and potential upcoming international launches of TAAT™ in Europe and Oceania. The forward-looking information reflects management’s current expectations based on information currently available and are subject to a number of risks and uncertainties that may cause outcomes to differ materially from those discussed in the forward-looking information. Although the Company believes that the assumptions and factors used in preparing the forward-looking information are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed timeframes or at all. Factors that could cause actual results or events to differ materially from current expectations include: (i) adverse market conditions; (ii) changes to the growth and size of the tobacco markets; and (iii) other factors beyond the control of the Company. The Company operates in a rapidly evolving environment. New risk factors emerge from time to time, and it is impossible for the Company’s management to predict all risk factors, nor can the Company assess the impact of all factors on Company’s business or the extent to which any factor, or combination of factors, may cause actual results to differ from those contained in any forward-looking information. The forward-looking information included in this news release are made as of the date of this news release and the Company expressly disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable law.
The statements in this news release have not been evaluated by Health Canada or the U.S. Food and Drug Administration. As each individual is different, the benefits, if any, of taking the Company’s products will vary from person to person. No claims or guarantees can be made as to the effects of the Company’s products on an individual’s health and well-being. The Company’s products are not intended to diagnose, treat, cure, or prevent any disease.
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Statement Regarding Third-Party Investor Relations Firms
Disclosures relating to investor relations firms retained by TAAT™ Global Alternatives Inc. can be found under the Company's profile on http://sedar.com.
