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- Crowd Media (CM8) has signed a three-year distribution agreement with U.S.-based MD Professional LLC
- This agreement will see Crowd Media sell MD’s cruelty-free, vegan skin care brand in the European Union through a new website and the Amazon e-commerce marketplace
- After three years, the agreement will automatically renew for an additional year unless either company chooses not to renew
- While the exact figures haven’t been disclosed, Crowd Media will pay MD the actual production cost of each product as well as a fixed percentage
- Also, the agreed distribution margin is in line with that standard of between 60 per cent to 75 per cent
- Crowd Media’s share price is up 4.35 per cent and shares are trading for 2.4 cents each
Marketing specialist company Crowd Media (CM8) has signed a three-year distribution agreement with U.S.-based MD Professional LLC.
This agreement will see Crowd Media sell MD’s cruelty-free, vegan skin care brand in the European Union through www.MDComplete.eu and the Amazon e-commerce marketplace.
Crowd Media has the exclusive rights to market, promote, advertise, distribute, and sell MD’s products until the three-year agreement expires on September 7, 2023.
This exclusivity is subject to the company meeting the minimum annual net purchases.
Once the three years are up, the agreement will automatically renew for an additional year unless either company chooses not to renew and provides 120 days written notice.
While the exact figures haven’t been disclosed, Crowd Media will pay MD the actual production cost of each product as well as a fixed percentage of that cost as a profit margin.
Further, the agreed distribution margin is in line with that standard of between 60 per cent to 75 per cent.
“We are excited to have executed a deal with MD Complete. According to a market report from Grand View Research, it is projected that the global vegan cosmetics market will reach $20.8 billion by 2025, propelled by millennials,” CEO Domenic Carosa said.
“We will be leveraging our existing influencer network and the ubiquitous Amazon e-commerce marketplace to grow our MD Complete business in Europe where customers will be able to access clinic-quality anti-aging skin treatments from the comfort of their homes,” he added.
Crowd Media’s share price is up 4.35 per cent and shares are trading for 2.4 cents each at 2:05 pm AEST.
