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Aphria Inc. APHA

Aphria, which is headquartered in Ontario, produces and sells medicinal and recreational cannabis. The company operates through retail and wholesale channels in Canada and internationally. Aphria is a main distributor of medical cannabis to Germany and has operations in over 10 countries outside of Canada. However, it does not have exposure to the U.S. CBD or THC markets due to the constraints of federal prohibition. It has some U.S. exposure through the acquisition of SweetWater, a craft brewer


NDAQ:APHA - Post by User

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Post by Savage97on Aug 25, 2020 6:54pm
470 Views
Post# 31452835

Aphria Increases Marketshare in Quebec

Aphria Increases Marketshare in Quebec

At the end of last month, Aphria re-introduced their P'tite Pof offering in Quebec. After taking a look at 4 weeks of sales, they definitely saw an increase in overall sales and marketshare in Quebec.

However, even though they launched their ounces in QC, their Good Supply Jean Guy 3.5g offering is their #1 seller (it was also their #1 product prior to the introduction of P'tite Pof).

Here's the change in their marketshare with the introduction of P'tite Pof, along with their top 5 selling products since the offering of those ounces:

https://imgur.com/kUe9xGf

So although ounces definitely helps in increasing sales, price is still a big driving factor. Both Jean Guy and Dconnecter are priced at $5.29/g (despite being a 3.5g offering), which is comparable to P'tite Pof at $5.35/g, hence why they appear in their top 5 products for the period.

Even more interesting is when I look at the inventory graph for Jean Guy, and compare it to P'tite Pof. The Pof ounces have been consistently in stock for the period. However, Jean Guy sold out quite frequently:

https://imgur.com/a/ZcqA6r8

Whereas other LPs have been shutting down and throttling their grows, Aphria has not made any big indications that they are doing so as well. I believe this helps answer the question as to why - there is clear demand for their products which they can't keep on store shelves (at least in QC).

How much higher would Aphria's sales (and marketshare) be if they could keep Jean Guy consistently in stock? And it's not just Jean Guy, but also Monkey Glue and Royal Highness as well - both have high demand (at least when in stock and readily available).

https://imgur.com/a/0EGiaRS

Not being able to keep up with demand for saleable flower - that is a great problem I'm sure many LPs wish they had.

Copied from TheCannalysts

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