eFoodSafety Going Head To Head With Pro Active

Now that the cat is out of the bag on Pur Effect, EFSF is wasting no time getting to work on going head to head with the virtually unchallenged leader in the specialized acne treatment world.

Today, just after the market opened, EFSF announced it had completed a study showing 94% of participants preferred Pur Effect’s 4 step treatment over a standard 3 step treatment.

While it doesn’t say so for competitive reasons, this is really a frontal assault on the strangle hold ProActive has on the Acne treatment market.

Personally, I believe the company is making all the right moves on this one. Unlike Cinnergen, where they are at the mercy of the retailers in terms of product placement, they are completely in control of their destiny with Pur Effect with its planned infomercial marketing.

Moreover, they have teamed up with some pros who have a long history of successful product launches via infomercial, generating hundreds of millions in sales.

And- even better- they don’t have to take one dime of risk. CK41 will put up all the money for the marketing campaign, and they will just split the profits.

Bottom line- I really like what’s happening here. Here’s the chart:

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In short, the chart looks great. You can see the summer low, and you can see the nice uptrend in the stock. I feel the downside risk at this point in somewhere in the $.28 to $.32 range. The upside is a new all time high sometime later this year. In short, just buy this thing whenever it’s near the blue line. If it trades below $.28, you might want to sell to protect your principal, but I believe the summer low has been made.

8 thoughts on “eFoodSafety Going Head To Head With Pro Active

  1. Do you believe there is any company bias on the PureEffect clinical trials? Is it strictly independent?

    Editor: I believe they hired a third party lab, and it is totally independent. I’m sure they will use the data in the infomercial.

  2. I like this company more and more.

    Editor: The Pur Effect progress is a much bigger deal in my mind than Cinnergen.

  3. I would rank the EFSF’s biggest potential money makers, from a product standpoint, as: Oraphyte (if the Dupont deals goes through) first, followed by PureEffect, followed by Cinnergen. Would you concur? Secondly, if the Oraphyte deal is going to happen, i would think it would not drag out much longer, and in fact, would likely be announced in the next month or two. Agree or disagree? Third question: where might we hope for an increased source of volume/new buyers — to help get this stock moving up?

    Editor: Yes, I would, and there is another wild card out there that could represent the biggest upside of all of them. However, I don’t believe they all have to be big commercial hits to make money on the stock. They just need one to take off, and PureEffect is the one I believe has the most “measurable” shot today. Oraphtye is a wild card as I have no way of knowing where Dupont or any other company will pick it up. PureEffect will definitely have a really good shot of being big.

  4. “CK41 will put up all the money for the marketing campaign, and they will just split the profits”

    how does that work ????

    Editor: Very simple- CK41 pays for the infomercial, pays for the media buys, and runs the campaign. EFSF fulfills the orders for the product. If they sell one order for $50, and make $25 on it, each company gets $12.50. EFSF doesn’t have to do anything until the orders come in. CK41 takes all the risk.

  5. “Another wild card out there”…? Would that be a new product?

    Editor: Can’t say.

  6. The new Cinnergen site does not include Wal Mart. Why did we lose Wal Mart?

    Editor: Someone else asked me that same question, and according to my source who is close to the company, no. However, EFSF had been expecting orders from all the WalMart stores by now, and it’s been delayed a little.

  7. Our problem is volume. No one is looking. No one cares. I realize it’s summer. But what’s going to get eyeballs on this company? And the huge float means we need to volume muscle to get this moving. Even if positive numbers come out in the next quarter report, what good is it if no one (besides our small and loyal shareholder community here) sees?

    Editor: Problem, or opportunity? Microcaps are seasonal- at the end of last summer I was writing extensively about CPNE at $.50 and PNWIF at $1.80. Now, one year later in the heart of the summer, look where they are after being much higher in the middle of the really good season. So, if you have a six month investing horizon and you like EFSF, what do you do? Right- summers are either a nuisance if you are looking for trading profits on the long side in micros, or great if you are looking to make some really big money. Your choice.

  8. I read a comment somewhere where someone interpreted the hiring of the former Dupont employee as an indication that Dupont has passed on Oraphyte, and, the employee hiring was EFSF’s attempt to fix whatever it was that caused Dupont to pass. So the product could be re-submitted elsewhere for a potential buyer/partner. I do not agree with this assessment, but would appreciate your opinion? Thank you.

    Editor: I suppose that could be the case, but it seems a bit of a stretch to make that assumption. I don’t know whether Dupont turned them down or not, but it’s only one product of a number of potential home runs. People make assumptions that often have no basis in fact.