The Calmer Co sees a 28% revenue rise in May, propelled by robust eCommerce sales of its kava products
Online sales surge by 45%, reaching over $16,000 daily, maintaining a 10-month growth trend.
Retail partnerships, including with Coles, significantly contribute to the company’s success
Special Report: Following a strong April, The Calmer Co maintained its momentum with impressive growth throughout May, boasting daily ecommerce sales of $16k per day.
The Calmer Co (ASX: CCO) is a company dedicated to enhancing health and wellness through natural products that foster calmness, aid relaxation, and promote better sleep.
The CCO’s share price jumped by over +100% this morning after reporting that its eCommerce sales in May were running at $16k per day.
The company’s flagship ingredient, kava, sourced from the Fijian islands, has been at the forefront of a burgeoning health trend which is gaining traction in Western markets.
The latest sales figures for May underscore the significant rise of kava as a legitimate health supplement in Western countries.
Both online and supermarket sales have seen a surge, with major retail partners like Coles in Australia and Walmart in the USA showcasing the popularity of kava-infused products.
The May sales report from The Calmer Co reveals a very impressive growth:
Total revenues surged by 28%, surpassing $600k in May, compared to $470k in April
eCommerce sales soared by 45%, reaching $16,000 per day in May, marking the tenth consecutive month of online sales growth
Sales through Coles Australia witnessed a notable increase, with orders totalling 38k units across three SKUs in May, up from 23k units in April and 16k units in March
Source: The Calmer Co
These impressive results follow the trend of strong performance observed in April where E-commerce sales surpassed $11k per day.
READ: Kava sales boom as global growth continues for The Calmer Co
Anthony Noble, CEO of The Calmer Co, expressed optimism about the trajectory of kava as a sought-after health supplement.
“Shopify Australia, Amazon USA and Shopify USA all had record months in May, with our global digital marketing strategy now firing on all cylinders with full stock levels in our warehouses across the board,” he said.
Robust eCommerce strategy coupled with strong retail ties
Noble emphasised the company’s robust digital marketing strategy and strong retail partnerships as key drivers of its success.
With confidence in its eCommerce-driven approach, complemented by retail exposure in Australia and Fiji, The Calmer Co anticipates continued growth.
The CEO also anticipates significant expansion in the US market through Shopify, where regulatory support facilitates the launch of innovative products.
He highlighted the remarkable success of The Calmer Co’s digital storefronts, with Shopify Australia, Amazon USA, and Shopify USA all boasting record-breaking sales in May.
“Shopify USA channel will soon be the major engine for growth in the world’s largest kava market where the regulatory framework supports launching new innovative products in the future,” Noble said.
The robust performance in eCommerce sales speaks volumes about the company’s effective digital marketing strategy and efficient inventory management, ensuring that shelves are fully stocked to meet soaring demand.
Moreover, Noble emphasised the continued strength of retail partnerships, particularly with Coles Australia and prominent Fijian tourist retailers like Jacks Tappoos and Prouds.
These channels, Noble noted, play a pivotal role in introducing new customers to The Calmer Co’s diverse range of products.
“We continue to see strong sales through Coles Australia and in our Fijian Tourist channel retailers; Jacks of Fiji, Tappoos and Prouds, all of which provide an important way for customers to discover and try our products for the first time.”
Looking ahead, Noble outlined the company’s strategic priorities, affirming their commitment to prioritising products and channels with the highest potential for profitability and scalability.
“The company will continue to prioritise those products and channels with the highest margins and scalability.
“We are increasingly confident that our eCommerce led strategy with complementary retail exposure in Australia and the Fiji Islands, will show continued success,” Noble said.
This article was developed in collaboration with The Calmer Co a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
The post The Calmer Co jumps 100pc on strong momentum in May, driven by eCommerce sales appeared first on Stockhead.
