Sports Pouch Beverage Company, Inc. (OTC: SPBV)
Production Capabilities
The beverage pouch package filling activity will be performed at an established beverage co-packer facility in Corona, California.
Technology for the pull-push pouch consists of a patent spout die and use of a Bossar flat pout machine. The company has an agreement with the manufacture to have the right of first refusal for the shipment of this type of machine to the United States of America or Mexico.
In addition to the filling machine, case erector, case filler and bundler equipment will be used in the manufacturing process. This equipment can also be used in a co-packer configuration, should the company elect to co-pack beverages for other manufacturers.
The co-packer provides labor for the manufacturing process, except for a machine operator. Manufacturing supplies are based upon production activity. Product package artwork, box plates and film plates are fixed expenses provided by the company. Shipping and transportation activities are the responsibility of the distributor/broker. Manufacturing for fulfillment of each month’s sales will occur the month before the projected sale.
With an initial production capability of 5,000 cases daily, Sports Pouch’s initial geographic market area will be southern California and southern Nevada (Clark County). Over time, as the marketplace accepts this beverage with its pull-push pouch packaging technology, the marketing will be expanded to include all of the United States, Mexico, Canada, and Central-South America.
Competitive Advantage
Though Sports Pouch has a terrific product and important industry contacts selling into a $1.0 Billion segment of the beverage market, its unique packaging gives it a truly overwhelming competitive advantage.
The most important competitors, Capri Sun, Minute Maid, Kool Aid, Hi c, Disney, Libby’s, and Tree Top, all place their drinks into a “straw and pouch” packages. As parents know, this form of packaging has several drawbacks:
Often times, it is difficult to insert the straw into the package without spillage. Straws for each drink are not always attached to each individual package. It’s frustrating and wasteful when only 6 or 7 straws are attached on an 8 pack of drinks. If the straw is lost while drinking, you are unable to finish the beverage. You can’t reseal the package and leave it for several hours to finish it later.
Using Sports Pouch’s patented “pull-push” spout system, these problems disappear. These spouts look much like the spouts used to reseal bottled water. Water typically is enclosed in plastic, hard framed bottles and comes in larger sizes (typically 16 ozs). Sports Pouch’s juices come in the traditional juice sized 6.75 oz package, the correct size for a child’s drink. The resealing technology creates a much more user-friendly package. The consumer can easily close and re-open the pouch container while also not requiring an external device, the straw, to drink the beverage.
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