Wyoming-based First Class, which Mota Ventures purchased this month, has already produced US$2.1 million in revenue in January compared to US$307,000 last year.
“First Class plans to continue this significant growth in their US operations over the balance of 2020, as well as enter the European market,” the company said in a statement.
READ: Mota Ventures marks major milestone with acquisition of online retailer First Class CBD for US$32M
Mota Ventures said it will pursue four key initiatives for the next 12 months that will yield near-term results while positioning the company for long-term growth:
- Increasing investment in customer acquisition through existing marketing channels;
- Realize efficiencies with its supply chain to reduce product costs and increase product development pipeline;
- Increase customer retention in its subscription model; and
- Initiate strategic international expansion beyond the US market
Also, the company said its short-term product development strategy “is to offer product derivations within our existing catalog.”
As a result, Mota Ventures said it will increase the efficacy of its products by increasing CBD levels in its oil drops, creams and other products. Also, the company will add additional flavor or scent options to its entire product line. "Our long-term product development strategy is to develop new and interesting products based on market demand.” the company said.
New products under development or testing include the following:
- Products containing other cannabinoids outside of CBD (CBG and CGL);
- Expansion of the company's CBD gummy line;
- On-the-go CBD muscle balm;
- CBD Energy Shot;
- CBD Tea; and
- Products combining CBD and melatonin
“The company is excited about the continued growth of First Class CBD. Their ability to generate sales and profits positions them to become a leader in the US CBD space,” said Mota Ventures CEO Joel Shacker.
“The partnership with Unified provides an excellent platform for further expansion in the US and future expansion into Europe.”
Mota Ventures' stock recently traded up 7% to C$0.61 a share in Canada and 16% to US$0.45 a share in New York.
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