Mix1

Report
Safe Harbor Statement
This presentation contains forward-looking statements that are based on the beliefs of Mix 1 management
and reflect Mix 1’s current expectations and projections about future results, performance, prospects and
opportunities. Mix 1 has tried to identify these statements by using words such as “anticipate,” believe,”
“could,” “estimate,” “expect,” “intend,” “may,” “plan,” “project,” “potential,” “should,” “will,” “will be,”
“would” and similar expressions, but this is not an exclusive way of identifying such statements. Investors
are cautioned that all forward-looking statements contained herein speak only as of the date of this
presentation and involve risks and uncertainties that could cause Mix 1’s actual results, performance and
achievements to differ materially from those expressed in these forward-looking statements, including,
without limitation, the impact of the current challenging global economic conditions and recent financial
crisis; the development of the market for beverage and consumer products; competition; Mix 1’s ability to
raise the capital required for research, product development, operations and marketing; anticipated
dependence on material customers and material suppliers. For a detailed discussion of factors that could
affect Mix 1’s future operating results, investors should see disclosures under “Risk Factors” in the
company’s applicable filings with the US Securities and Exchange Commission. These factors should be
considered carefully and investors should not rely on any forward‐looking statements contained herein, or
that may be made elsewhere from time to time by Mix 1 or on Mix 1’s behalf. Mix 1 undertakes no
obligation to update or revise any forward‐looking statements, whether as a result of new information,
future events or otherwise, except as expressly required by law.
2
Who is mix1
• We are a Beverage company with a product line of RTD
(Ready to Drink) Natural Protein Shakes.
• We produce a variety of premium nutritional shakes made
with natural ingredients, vitamins, and minerals
• All of our beverages offer a complete balanced
macronutrient mix:
protein, vitamins and minerals, fiber, healthy fat,
antioxidants
 NO artificial sweeteners or preservatives
• All our drinks have a 12 month self life with no need for
refrigeration.
3
mix1 company history
Company Founded
& mix1 launched
Lean Performance
Launched
2005
Chocolate & Vanilla
Launched
Highland Capital Invests
$5+ Million into mix1
Mix1 Brand
Repositioning
& Re-launch for 2014
2012
2010
2008
Chocolate & Vanilla
Lean Performance
Launched
2011
Hershey Invests
$12+ Million into mix1
2013
Mix1 Life, Inc.
Acquirers Assets
of mix1
4
Improvements implemented in second half of 2013
• New Formulas: Increased protein contents of its drinks from
15g to 24g per serving and decreased the calories per serving
• New Flavors: mix1 will launch with Chocolate, VanillaBlueberry, and Strawberry-Banana
 Company has additional 5 formulas ready to market later in
2014
• New Format: Changed from Tetra to a 12 oz “PET” Bottle
• New Packaging: Full wrap bottle design with new graphics
• New Bottler: Agreement in place with new highly accredited
bottling company to meet the companies production needs
Our “ NEW IMPROVED ” mix1 Products
•
protein: 24 grams whey protein
•
antioxidants : excellent source
from
vitamins A & E
•
•
•
•
•
•
carbohydrates: 20 grams
calories: Ranges from 198 to
219 calories
fiber: 4 grams
fat: 3 grams (healthy fat from
olive oil)
sweetener: natural sugar &
stevia
19 vitamins & minerals:
including A, D, B, potassium,
calcium & more
6
mix1 Consumer & Usage
mix1 Consumer
mix1 Usage
46%
mix1
protein beverage category
35%
33%
vs.
31%
11%
13%14%
8%
2% 3%
1% 0%
For
breakfast
For lunch
For a
mid-day
snack
For an
evening
snack
For dinner
3%
After a
workout
0%
No speical
time
• Mix1 exceeds category usage at breakfast & lunch and on
par with snacking
•mix1 will drive incremental beverage growth by:
Why
mix1?
- Attracting new users to the category
- Offering multiple, unique usage occasions to drive greater purchase frequency
- Meeting emerging demand for health & wellness lifestyle beverages
7
Key Points of Difference
Made with NATURAL ingrediants
Complete BALANCED macronutrient mix:
protein, vitamins & minerals, fiber, healthy fat,
antioxidants
NO ARTIFICIAL
vs.
sweeteners or preservatives
MAINSTREAM CONSUMER target &
broader usage occasions GREAT TASTE
and FRUIT FLAVOR VARIETY
8
Distribution Opportunity with Growing Customer Base
9
Geographic Diversity
(85)
(128)
(86)
(17)
(32)
(134)
(94)
(120)
(31)
(126)
(58)
(133)
(133)
(84)
(153)
(132)
(24)
(28)
(87)
(261)
(127)
(62)
(13)
(140)
(320)
(41)
(15)
(164)
(24)
(18) (215)
(39)
(15)
(89)
(21)
(16)
(119)
10
Category Trends
Protein Category Growth Continues
US Retail Sales: RTD Protein Beverages
6.7% CAGR
$2,520M
6.8% CAGR
$1,946M
$1,496M
2007
2011
Source: Euromonitor
2015
(forecast)
US Retail Sales Growth:
Select Beverage Categories
Segment
Energy Drinks
Superfruit Juices
RTD Protein Drinks
RTD Tea
Fruit Flavored Drinks
Sparkling Water
Functional Bottled Water
Flavored Bottled Water
Sports Drinks
Flavored Milk Drinks
RTD Coffee
Bottled Water
CSDs
Juice
Soy Beverages
CAGR (200711)
10.1%
8.8%
6.8%
4.5%
3.6%
3.6%
3.4%
1.8%
1.0%
0.8%
0.7%
0.0%
-0.2%
-0.8%
-2.5%
11
Key Management
Cameron Robb, CEO
Cameron has over 20 years of entrepreneurial business experience. He has worked as a CEO and Management Consultant
for a variety of companies in diversified industries, including Entertainment, Technology, and Consumer Products. The
services he provided were at an executive level for both private and publicly held companies. Cameron has worked with
nationwide sports licensing companies representing such licenses as, NFL®, NBA®, NHL®, MLB®, PGA®, WWF® and
NASCAR®. In addition, Cameron has sold product and work directly with independent retailers as well as various mass
market chains in Grocery and Convenience Stores across North America.
Chris Larson, Chief Financial Officer
Chris has extensive public company experience and, co-founded and acted as CFO of Cash Systems, Inc., a NASDAQ traded
financial services company involved in the casino gaming industry from 1999 to 2005. During that time. Cash Systems was
taken public via a reverse merger – and, during Chris’ tenure the company experienced rapid revenue growth from
$600,000 to $100,000,000 annually. As CFO he helped the company raise $55,000,000 worth of private placements and
assisted the company in securing several vault cash arrangements
Kevin Conrad, President of Sales
Kevin Conrad joined mix1 from GO Fast Energy Drink, where he served as EVP & Director – North & South America
Sales/Distribution. He consistently generated increase in bottom line profits of all GO Fast products market expansion
through new business development efforts securing accounts with distributors and buyers. Prior to GO, he served as VP Sales and Distribution at Rockstar, where he initialized, designed and implemented sales campaigns and promotional
programs increasing sales consistently. Prior to that, he held positions at Wine and Spirits, Miller Brewing Company, and
Shamrock Distributing.
12
Market Opportunity
13
“The Squeeze”
HEALTH(IER)
BEVERAGES
Bottled Waters
RTD Teas
Juices
FUNCTIONAL
BEVERAGES
CARBONATED
SOFT
DRINKS
Sports Drinks
Energy Drinks
Emerging Functions
14
Well Positioned and Differentiated
Historically, small and innovative companies (not large brands) create disruptive
opportunities.
The Mainstream Sports
Disruptive Opportunity
Market Movers and Creators
• Sports Drink Segment
• New Age Beverages
• Energy Drink Segment
• RTD Coffee Segment
• Enhanced Water Segment
• Mainstream Health and Wellness
Nutrition Segment
Brand Innovator
Where performance, nutrition,
and energy converge on
“All Natural Fuel”
Segment Characteristics:
•
•
•
•
True functionality
Balanced all natural ingredients
Great tasting
Broad consumer appeal, providing
benefits not just to the weightlifter
seeking bulk or the 20-year old looking
for quick energy
Implications for Disruptive Brands:
• Demands quick action to capitalize on
window of opportunity
• Product turns slower than “old-line”
products until message is broadly
delivered leading to satisfaction and
increased velocity
Despite implications, returns for
disruptive brands are significantly
higher than “me too” products
15
Large Market
for
Alternative
Beverage
Alternative Beverage All Channel Retail Sales ($M)
$40,000
10 Yr
CAGR
$35,000
$30,000
+38%
$25,000
+9%
$20,000
+8%
$15,000
+7%
$10,000
+6%
$5,000
$0
2000
2001
Sports
2002
2003
Juices
2004
Tea
2005
2006
2007
2008
Dairy/Other
2009
2010
2011
2012
Energy Drinks
16
Sales Channels Future Opportunity
2016 Sales Channel Projected Penetration
Natural
Grocery
Specialty
Club/Mass
C-Store
Drug
Store Count
1,500
35,000
7,000
28,000
145,000
38,000
mix1 Target
(%)
20%
23%
86%
10%
16%
46%
mix1 Target
(Est. $ Value)
$2M
$31M
$15M
$11M
$10M
$9M
Full Potential
$4M
$109M
$73M
$260M
$27M
$33M
Competitors
Bolthouse, Bosa
Nova, Odwalla,
Samabzon, Naked
Juice, POM
Muscle Milk,
Myoplex, Ensure,
Boost, Advantage,
Slimfast,
Bolthouse, Bosa
Nova, Odwalla,
Samabzon, Naked
Juice, POM, V-8
Muscle Milk,
Myoplex, Ensure,
Boost, Advantage
Muscle Milk,
Odwalla, V-8
Bolthouse, Bosa
Nova, Odwalla,
Samabzon, Naked
Juice, POM
Bolthouse, Bosa
Nova, Odwalla,
Samabzon, Naked
Juice, POM
2014 Outlook
• Expected revenue of approximately $10 million in 2014
• Expanded flavor SKU’s of beverages and we plan to introduce new
product extensions such as natural powder.
• Mix1 will drive retail penetration, increasing its sales force and
marketing efforts through distributors and direct to retail
• Company is raising an additional $7.5 million to $10 Million
18
Investment Highlights
Mass appeal
with proven
demand
Differentiated
product
platform
•
•
•
•
Core market of functional beverage est. to grow $16 billion by 2015;
$20 Million Invested into the Brand
Established brand equity; 9 years of marketing and consumer awareness
Offering positioned to be sold across multiple channels from natural and
traditional grocery to big box, club, and specialty outlets
•
•
•
•
Reformulated product backed by intense marketing studies
Attract consumers looking for all natural options for on-the-go energy
Providing the required nutrients for consumers‘
Natural Product --All in the right balance
Low expansion
risk
• Mix1 moved from initial launch (natural channel) to regional and
national footprint with leading retailers in all major categories / channels
• Invested capital drives retail penetration, and brand innovation
• Growth with manufacturing and distribution being variable costs
Significant
product line
extensions
• Add-on platforms, markets and branded multi-media opportunities
provide mix1 the potential to become a “mega-brand”
• The “neutral” brand = No baggage of some key competitors (Muscle
Milk, Myoplex, Atkins)
19
Conclusion
• mix1 has Re-vamped its product and its marketing message to
deliver highly differentiated offerings
• mix1 has Proven track record for both Regional and National
Sales with Mass Appeal
• Our low risk expansion begins by ramping up sales and
footprint for 2014
• mix1 represents the Next Generation of Functional Beverage
and Line Extensions
20
Corporate Information:
• Publicly Traded:
Otcbb: MIXX
• Current Share Price:
$1.60
• Shares outstanding:
29.4 million
• Market Cap:
$47 million
21
Contact Information
Mix1 Life, Inc.
10575 N. 114th, Suite
103 Scottsdale, AZ 85259
Office: 480.344.7770

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