DRVD - Driven Deliveries Exceeds April Sales Forecast with Online Sales of $1.84M
LOS ANGELES, May 5, 2020 /PRNewswire/ -- Driven Deliveries Inc. (the "Company" or Driven) (OTCQB: DRVD), California's fastest growing online cannabis retailer and direct-to-consumer logistics company, announced today that the Company exceeded its April revenue guidance provided early last month of $1.6 million by over $200,000 to total approximately $1.84 million. Aggregate Gross Profit Margin for online sales during April improved approximately 6% to 64% month-over-month as compared to 58% in March.
The company's online retail divisions, Ganjarunner and Budee, now represent more than 220,000 registered cannabis consumers. In April over 4,600 new customers were acquired and over 21,000 orders were delivered to consumer doorsteps.
Consolidated Cost of Acquisition (COA) for new customers also improved for the third straight month to $10.77. Additional improvements were realized in organic vs paid acquisition, where internal acquisition accounted for more than 56% of all new customers in April and represented a significantly lower COA of $4.37.
"We are making major investments in our unique marketing strategy," said Christian Schenk, CEO, Driven Deliveries Inc. "The Company continues to implement major improvements in both our new customer acquisition capabilities as well as our existing customer engagement programs. As we continue to scale, our cost of customer acquisition will continue to improve, predominantly due to our customer's loyalty. We continue to exceed our forecasts in both categories."
Other major accomplishments in April were the launch of the Company's data analytics and visualization platform, Driven by Numbers, as well as the launch of a new brand-to-consumer technology, called Brand Budee, which enables the Company's cannabis brand partners to embed Driven Deliveries' integrated e-commerce solution with their websites to convert consumer traffic to revenue without having to leave their page.
"Technology is the foundation of our business and enables us to achieve scale in all aspects of our operation including our customer-facing shopping tools, routing and dispatch as well as compliance, inventory management and marketing automation," said Sal Villanueva, President, Driven Deliveries Inc. "These two new products are another example of how we are able to outperform our competition while exceeding our customer expectations."
"Customers turn to crowdsourced reviews such as Google, ahead of making almost any purchase these days. The satisfaction of our customers is our closest managed metric," said Schenk. "We are proud to be a 4.8 star provider amongst a sea of 2 star competitors."
About Driven:
Driven Deliveries, Inc., is the first publicly traded cannabis delivery service operating within the United States. Founded by experienced technology and cannabis executives, the company provides e-commerce solutions, online sales, and on-demand cannabis delivery, in select cities where allowed by law. Driven offers legal cannabis consumers the ability to purchase and receive their marijuana in a fast and convenient manner. By 2020, legitimate cannabis revenue in the U.S. market is projected to hit $23 billion. By leveraging consumer trends, and offering a proprietary, turnkey delivery system to its customers, management believes it is uniquely positioned to best serve the needs of the emerging cannabis industry and capture notable market share within the sector. For more information, please visit www.DRVD.com and review Driven's filings with the U.S. Securities and Exchange Commission.
Forward-looking Statements:
This press release contains certain forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are identified by the use of the words "could," "believe," "anticipate," "intend," "estimate," "expect," "may," "continue," "predict," "potential," "project" and similar expressions that are intended to identify forward-looking statements. All forward-looking statements speak only as of the date of this press release. You should not place undue reliance on these forward-looking statements. Although we believe that our plans, objectives, expectations, and intentions reflected in or suggested by the forward-looking statements are reasonable, we can give no assurance that we will achieve these plans, objectives, expectations or intentions. Forward-looking statements involve significant risks and uncertainties (some of which are beyond the Company's control) and assumptions that could cause actual results to differ materially from historical experience and present expectations or projections. Actual results to differ materially from those in the forward-looking statements and the trading price for our common stock may fluctuate significantly. Forward-looking statements also are affected by the risk factors described in the company's filings with the U.S. Securities and Exchange Commission. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.
CONTACT: Maddie Schenk, maddie@drvd.com
SOURCE Driven Deliveries, Inc.