• AI-Powered Distributor Revolutionizing Deliveries to Gas Stations and Convenience Stores with Innovative AI-Driven Direct Store Delivery (DSD) Model.
• 560% Year Over Year Revenue Growth. Reporting $4.35 Million Annual Revenue.
• PRISM Software AI Powered Technology Platform Specifically Designed for Optimizing Direct Store Delivery.
• Expanded DSD Distribution in 3 Service Areas with 3 New Distribution Mini-Hubs.
• Expanded Retail Network Adding Texas Born Convenience Stores with 52 Locations.
GPO Plus, Inc. (OTCQB: GPOX) is an AI-powered Distributor revolutionizing the future of distribution to gas stations and convenience stores with its innovative AI-driven Direct Store Delivery (DSD) model. The Company's goal is: “to build the largest nationwide DSD distribution company servicing gas stations, convenience stores, and beyond.”
A technology-driven AI network, featuring strategically placed Regional Hubs and Mini Hubs, is designed to optimize efficiency and maximize reach. Central to operations is an in-house AI technology platform, PRISM+ (Predictive Route Inventory and Service Management). Designed to streamline the distribution process, PRISM+ supports efficient delivery, inventory management, data analytics, and overall operational excellence, enabling GPOX to reliably and effectively meet the dynamic needs of partners. The mission is to consolidate the fragmented market segment managed by numerous regional vendors.
Shareholder Update
On December 6thGPO Plus Inc. (GPOX) issued a shareholder update reviewing accomplishments and new initiatives to drive recurring revenues for sustainable growth.
GPOX has embraced AI and its proprietary technology platform (PRISM+) to provide a state-of-the-art distribution service primarily to convenience stores and gas stations. The Company grows by adding retail stores to its network and distributing more products to these retail partners. This includes expanding private label products they manufacture to greatly increase margin. As the network grows, group purchasing power increases as well as margins and profitability. Most competitors set up their systems decades ago and do not have the ability to pivot taking advantage of new technology and systems. This provides GPOX a competitive advantage to improve a business model that has not significantly changed in over 40 years.
Year over Year Growth is over 560% in the last Annual 10-K Filing. Revenues increased to over $4.35 million in gross sales for the period ending April 30, 2024, as compared to $653,516 for the period ending April 30, 2023.
Initiatives to Drive Sustainable Growth
Upgrade Warehouses to Climate Controlled - GPOX is upgrading its warehouse to ambient temperature-controlled facilities, meeting industry standards for sensitive product storage. This upgrade allows the expansion of product categories, including items such as apparel. The target is these new products will increase annualized revenues by $3.0 to $5.0 million over the next year.
Expanding Retail Network in Current Service Areas - By leveraging existing routes, particularly in rural regions where stores are often miles apart, GPOX aims to "fill in" along these established paths, maximizing routes and expanding its network. This strategy allows the Company to scale rapidly and cost-effectively, tapping into underserved markets that align with its operational strengths. The target is to add 2,000 locations within existing service areas.
Implementing Call Center Sales Team -Establishing a dedicated call center sales team focused on reaching independent stores, expanded retail categories such as smoke shops and liquor stores, and other potential customers within service areas. Industry benchmarks suggest potential sales of $50,000 to $100,000 per seat monthly, and GPOX aims to launch with five seats, scaling to 15 as demand grows. An existing database of over 70,000 retail leads provides the sales team with a robust starting point to build relationships and drive sales. This initiative is a cost-effective way to penetrate new markets, optimize product reach, and significantly boost revenues while maintaining sustainable operations.
Converting Mini-Hub Locations to Cash and Carry -Plan to convert select mini-hubs into dual-purpose facilities that function as both mini-hubs and cash-and-carry locations. Mini-hubs are small, localized storage centers that support 1-4 drivers, optimizing deliveries within a specific area. By transforming these spaces into cash-and-carry destinations, GPOX creates an additional retail channel where partners can purchase wholesale goods directly. This approach leverages the products already in stock at these locations, creating economies of scale by maximizing the utility of our existing storage spaces. Cash-and-carry locations also allow drop-shipping services, expanding reach beyond traditional DSD routes. This initiative provides convenience for smaller retail partners who may not qualify for regular DSD service and increases sales opportunities.
Mission and Target Markets
Typically,80% - 85% of all products in convenience stores and gas stations are delivered by just a few distributors. The remaining 15% - 20% is serviced by dozens of vendors and distributors, with primarily a drop-ship model. Many of these vendors and/or distributors are regional; the larger the convenience store/gas station chain, the fewer vendors they want to work with. The GPO Plus mission is to consolidate the 15% - 20% of highly fragmented products represented by many vendors and distributors.
The convenience store and gas station industry in the United States is vast, with approximately 152,396 establishments generating nearly $860 billion in total sales. Independent retailers make up 63.1% of the market, highlighting a significant opportunity to empower these businesses with the same level of service and pricing as large chains helping to provide them a competitive advantage in their service area.
This 15%-20%, including anything from car chargers to flavored pecans, is a $50 billion market opportunity within the $327 billion in-store sales convenience store market. It is also a significant pain point for convenience stores having to manage supply chain headaches, minimum order requirements, excess inventory, sourcing, and qualifying products. GPOX solves these problems with a data-driven, tech-enhanced DSD model, helping independent retailers maintain streamlined inventory and improved profitability.
The Company growth path is straightforward, more stores and more products equates to more revenue. The easy math is $4.35 million in revenue equates to about $900 a month in sales per store. The next growth milestone is 1,000 stores generating over $2,000 a month with a clear path for growing to 5,000 locations. GPO Plus already has a few stores grossing over $5,000 per month.
For more information on $GPOX visit: www.GPOPlus.com
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Media Contact
Company Name: GPO Plus, Inc.
Contact Person: Brett H. Pojunis, CEO
Email: Send Email
Phone: 855.935.4769
Address:3571 East Sunset Road Suite 300
City: Las Vegas
State: Nevada
Country: United States
Website: https://gpoplus.com/
