Hey br00no! This is Chris, COO of Boring. Going to answer some of your questions.
Yes, that’s accurate. In the industry, a “case” refers to 24 cans that are packed in a tray. Here’s the breakdown:
Total number of cans: 230,400
Individual cans of each SKU (flavor): 57,600
Total: 38,400 six-packs = 9,600 six-packs of each SKU
Total: 57,600 four-packs = 14,400 four-packs of each SKU
Correct! We plan to offer the “Original” flavor, and the DAO will choose the other three flavors.
In the initial stages, our focus will be on online D2C. We’ll accept standard payment options like credit cards to avoid limiting ourselves to non-Web3 natives. However, $APE will be the only crypto payment method available. The advantage of using $APE is that you’ll have access to exclusive discounts. For example, you’ll receive “20% off your online order when paid in $APE.” As a fun bonus we want to incorporate Limited Editions flavors/product drops in the future, and these drops would be exclusive to $APE holders and only available by using $APE.
The decision to expand to in-store distribution will come later. Right now, we want to concentrate on D2C, as in-store distribution can eat into our margins. However, if the time is right for Boring to be on store shelves, we have an excellent team to help us achieve that goal. As for seed funding, that decision will also be made later. It’s no secret that beverage brands require capital to become a national brand, and Boring will likely need it too in due time. However, we want to keep the brand as APE-owned as possible. Before seeking outside capital, we will propose a raise to the DAO. While the DAO can’t currently accept profits, we are optimistic that a suitable solution will be found in the future for it to accept equity.
After considering various options and weighing them based on time, value, and efficiency, we decided against producing an MVP single SKU. Although it would have been an option, it would have increased the cost by roughly 30% and added months to the timeline.
Instead, we opted for a production run of 2,400 cases. This approach is 42% less expensive than the trial run size of 250 cases and 27% more efficient than the smallest production size of 1,200 cases. A production run of 1,200 cases has no room for discounts and is widely considered expensive, our larger production size allows for a discount on the formulation and efficiencies on the raw materials and tolling costs. The main cost of the larger production comes from the cans and packaging.
Another bonus with producing all flavors at once is ashuring all 4 flavors are cohesive in flavor profile.
Thanks for the great questions br00no!