Critical posts suggest Yowie’s sales are struggling for growth...

Critical posts suggest Yowie’s sales are struggling for growth and the $20 million will steadily disappear in the pockets of management.

I’ll bite.

So, there’s $20 million in cash left (around the current market capital) and the current business plan is trying for sales growth by increasing the number of stores.

First of all, I agree this is not a good idea.

Right now the best option is to sell the business, and I’d be shocked if the major shareholder is not shopping this around to see what the intellectual property is worth.

However, any low ball bid would be a travesty for Aussie shareholders who have held on and been taken for granted because IMHO, in the right hands, the I.P is worth A LOT.

There is no more collective set of interesting animals in the world than Australia.

The major problem, as I see it, is the company only half does things. This is because no one in power, so far, has any imagination or balls for that matter. For examples, the new videos and books smack of attempt, but where is the follow through? Also, for all the lip service, it seems at its core a chocolate company that does NOT get over its educational message.

To boost sales, IMHO, you need to ignite the interests of young children. I have read calls that the company should concentrate first on the Aussie market (because of past successes there), but the product is no longer the same and the collectability aspect has diminished in that the customer does not get to assemble the toy (the fun part) anymore. As a consequence, the new target market is young children (5-10 year olds).

Therefore, the key question management has to ask themselves is, “How can we get young children interested in this product?”

The product, IMHO, is not interesting enough to sell itself to young kids; it needs a launching pad to create interest in the characters and the sales will naturally follow by children asking their parents to fulfill their wants.

Possible launching pads​

Another cartoon series?
Another series of books?
An animated movie?
An educational puppet TV show?
Other?

Personally, I’d go for the educational TV puppet show – EDUTAINMENT is a growing theme; think “Bananas in Pajamas” and “Seseme Street”. A show that teaches children how to pet, behave, protect, and save animals. They could even have real kids (and adults) interacting with the puppets a la “Seseme Steet” and finally at the end of the show the kids get to unwrap their Yowies’ they collected or earned during the show: create some excitement! This kind of show can easily go on tour, too.

Fellow shareholders, when there's $20 million there are always options and all hope is not lost. What are your thoughts on how to spend the remaining money or is it time to give up and sell like some of the critics here suggest?

IMHO & GLTAH