The Alkaline Water Company Enhances E-Commerce Experience for Customers

Rhea-AI Summary

The Alkaline Water Company (NASDAQ: WTER) has partnered with Distribution Management (DM) to enhance its direct-to-consumer (D2C) fulfillment services. This partnership aims to enable 2-Day delivery of Alkaline88 products to 99% of U.S. households, improving customer experience and potentially reducing freight costs. The company reports strong recent e-commerce sales, indicating growth in this channel. The partnership is crucial for the company's expansion in e-commerce, supporting its goal to optimize fulfillment as it enters fiscal 2023.

Positive

• Partnership with Distribution Management enhances D2C fulfillment.
• 2-Day delivery for Alkaline88 products to 99% of U.S. households.
• Potential reduction in overall freight costs.
• Strong momentum with back-to-back strong months in e-commerce sales.

Negative

• None.

Alkaline88® Partners with Distribution Management For 2-Day Delivery

SCOTTSDALE, Ariz.--(BUSINESS WIRE)-- The Alkaline Water Company Inc. (NASDAQ and CSE: WTER) (the “Company”), the country’s largest independent alkaline water company and the Clean Beverage^® company, announces today that it has partnered with Distribution Management (“DM”)(formerly DM Fulfillment), a third-party logistics firm, to optimize the Company’s D2C (“direct-to-consumer”) fulfillment services.

“I want to thank Distribution Management (DM) and Chris Pitman, The Alkaline Water Company’s Director of E-Commerce, for working diligently to get this important partnership done before the beginning of fiscal 2023,” stated Ricky Wright, President and CEO of The Alkaline Water Company. “As The Alkaline Water Company continues to focus on growth in our ecommerce platforms, our new partnership with DM is a critical component.

“Our partnership with Distribution Management will allow us to achieve 2-Day delivery of Alkaline88 products to 99% of U.S. households. This will significantly enhance our customer experience both from our own ecommerce website and Amazon FBM. Since COVID, ecommerce has become an increasingly important component for CPG companies. Through this partnership, we’re taking steps to make sure our customers have the best ecommerce experience possible. Our research shows that Alkaline88 is one of the most loved enhanced waters in the country with tremendous customer loyalty. This partnership should further that loyalty. As we begin our fiscal 2023, our partnership with DM will have the added benefit of potentially reducing our overall freight costs of our ecommerce fulfillment. We have seen back-to-back strong months in ecommerce sales. This is a strong indication of the foundation that has now been laid and the significant upside we see for Alkaline88 in the ecommerce channel.”

“We are excited to partner with The Alkaline Water Company,” added David Reinkemeyer, VP of Sales at Distribution Management. “Now more than ever, consumers can choose from a wide variety of healthier, better tasting products that are more accessible due to ecommerce. For many brands, the challenges of delivering nationwide orders with the fast, dependable customer experience they expect can be barriers for online ordering. We’re thrilled we’ve been able to provide a holistic solution to meet the needs of The Alkaline Water Company and its customers.”

About The Alkaline Water Company:

The Alkaline Water Company is the Clean Beverage^® company making a difference in the water you drink and the world we share.

Founded in 2012, The Alkaline Water Company (NASDAQ and CSE: WTER) is headquartered in Scottsdale, Arizona. Its flagship product, Alkaline88®, is a leading premier alkaline water brand available in bulk and single-serve sizes along with eco-friendly aluminum packaging options. With its innovative, state-of-the-art proprietary electrolysis process, Alkaline88® delivers perfect 8.8 pH alkaline drinking water with trace minerals and electrolytes and boasts our trademarked label “Clean Beverage.” In 2021, The Alkaline Water Company was pleased to welcome Shaquille O’Neal to its board of advisors and to serve as the celebrity brand ambassador for Alkaline88^®.

To purchase The Alkaline Water Company’s products online, visit us at www.alkaline88.com.

To learn more about The Alkaline Water Company, please visit www.thealkalinewaterco.com or connect with us on Facebook, Twitter, Instagram, or LinkedIn.

About Distribution Management:

Distribution Management is a national technology, fulfillment and distribution provider specializing in automated order handling, managed supply services, wholesale services and ecommerce fulfillment. DM is able to reach 99% of the U.S. within one to two days and some international destinations within three days from its five strategically located distribution centers. DM’s order accuracy rate of 99.9% is reflective of its focus on operational excellence, efficiencies that have resulted from significant investment in technology and a dedicated IT development staff specializing in integration, automation and real-time reporting. To learn more, visit www.distributionmgmt.com.

Notice Regarding Forward-Looking Statements

This news release contains “forward-looking statements.” Statements in this news release that are not purely historical are forward-looking statements and include any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such forward-looking statements include, among other things, that the partnership with DM should further customer loyalty; that the Company’s partnership with DM will have the added benefit of potentially reducing the Company’s overall freight costs of the Company’s ecommerce fulfillment; and that back-to-back strong months in ecommerce sales are a strong indication of the significant upside the Company sees for Alkaline88 in the ecommerce channel.

The material assumptions supporting these forward-looking statements include, among others, that the demand for the Company’s products will continue to significantly grow; that the past production capacity of the Company’s co-packing facilities can be maintained or increased; that there will be increased production capacity through implementation of new production facilities, new co-packers and new technology; that there will be an increase in number of products available for sale to retailers and consumers; that there will be an expansion in geographical areas by national retailers carrying the Company’s products; that there will be an expansion into new national and regional grocery retailers; that there will be an expansion into new e-commerce, home delivery, convenience, and healthy food channels; that there will not be interruptions on production of the Company’s products; that there will not be a recall of products due to unintended contamination or other adverse events relating to the Company’s products; and that the Company will be able to obtain additional capital to meet the Company’s growing demand and satisfy the capital expenditure requirements needed to increase production and support sales activity. Actual results could differ from those projected in any forward-looking statements due to numerous factors. Such factors include, among others, governmental regulations being implemented regarding the production and sale of alkaline water or any other products; additional competitors selling alkaline water and enhanced water products in bulk containers reducing the Company’s sales; the fact that the Company does not own or operate any of its production facilities and that co-packers may not renew current agreements and/or not satisfy increased production quotas; the fact that the Company has a limited number of suppliers of its unique bulk bottles; the potential for supply-chain interruption due to factors beyond the Company’s control; the fact that there may be a recall of products due to unintended contamination; the inherent uncertainties associated with operating as an early stage company; changes in customer demand and the fact that consumers may not embrace enhanced water products as expected or at all; the extent to which the Company is successful in gaining new long-term relationships with new retailers and retaining existing relationships with retailers; the Company’s ability to raise the additional funding that it will need to continue to pursue its business, planned capital expansion and sales activity; and competition in the industry in which the Company operates and market conditions. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by applicable law, including the securities laws of the United States and Canada. Although the Company believes that any beliefs, plans, expectations, and intentions contained in this news release are reasonable, there can be no assurance that any such beliefs, plans, expectations, or intentions will prove to be accurate. Readers should consult all of the information set forth herein and should also refer to the risk factors disclosure outlined in the reports and other documents the Company files with the SEC, available at www.sec.gov, and on the SEDAR, available at www.sedar.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220405005126/en/

The Alkaline Water Company Inc.

Jeff Wright

Director of Investor Relations

866-242-0240

investors@thealkalinewaterco.com



Media

Jessica Starman

888-461-2233

jessica@elev8newmedia.com

Source: The Alkaline Water Company Inc.

FAQ

What is the significance of the partnership between Alkaline Water Company and Distribution Management?

The partnership aims to improve direct-to-consumer fulfillment services, enabling 2-Day delivery to 99% of U.S. households, enhancing customer experience.

How will the new partnership affect Alkaline Water Company's e-commerce sales?

The partnership is expected to significantly enhance e-commerce performance, as evidenced by recent strong sales trends.

What potential cost benefits does Alkaline Water Company anticipate from partnering with DM?

The company may reduce overall freight costs due to improved fulfillment strategies.

What is the stock symbol for The Alkaline Water Company?

The stock symbol for The Alkaline Water Company is WTER.