REPEAT - TAATtm Begins Focused Initiative on In-Store Activation for Existing Placements in National U.S. Gas Station Chains

LAS VEGAS and VANCOUVER, British Columbia, Jan. 24, 2022 (GLOBE NEWSWIRE) -- TAATtm GLOBAL ALTERNATIVES INC. (CSE: TAAT) (OTCQX: TOBAF) (FRANKFURT: 2TP) (the "Company" or "TAATtm") announces that in 2022 it is commencing a targeted in-store activation strategy for national gas station chains in the United States, a key retail segment for the tobacco industry that represents a steadily growing share of TAATtm retailers. In its January 18, 2022 press release the Company stated its plan to enhance in-store activation strategies to further strengthen its volume of repeat orders. TAATtm has elected to place a specialized focus on developing in-store activation tactics to engage smokers aged 21+ in gas stations where tobacco products are sold, as the relatively standard in-store experience of purchasing tobacco in gas stations could allow for such tactics to be scaled rapidly across the United States without significant modification. Furthermore, the existing presence of TAATtm in major national gas station chains enables the Company to execute these tactics in short order through its network of tobacco wholesalers. Current locations of TAATtm retailers can be viewed on the recently updated store locator feature on TryTAAT: https://trytaat.com/pages/sca-store-locator

By driving in-store conversions in settings such as gas stations through focused initiatives, the Company believes it can more efficiently acquire smokers aged 21+ as users of TAATtm which could lead to long-term repeat purchases of TAATtm products at retail. One of the Company's objectives in 2022 is to further grow its wholesale reorder rate, which is generally propelled by robust in-store sales on a repeat basis.

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Approximately one month after launching TAATtm for the first time in Ohio, the Company announced a statewide video advertisement campaign on over 10,400 gas pump displays, reportedly leading to numerous smokers aged 21+ requesting TAATtm in a given station's retail store after viewing the video advertisement. After evaluating purchasing interactions at fuel retail points of sale, the Company has identified several opportunities to optimize its in-store activations in gas stations, to include the following:

• Countertop and Pump Signage/Displays: Because the concept of a nicotine-free and tobacco-free alternative to cigarettes is unprecedented for many smokers aged 21+, the Company plans to implement conspicuous brand fixtures for countertops in gas stations as well as fuel pumps, explicitly conveying the value proposition of TAATtm (e.g., its "Beyond Nicotinetm" slogan). As this form of promotion is prohibited for tobacco products in the United States, this is a unique opportunity to capture the attention of smokers aged 21+ as a method for activation at the point of sale for tobacco products.
  
• Staff Training and In-Store Audits: Given the fairly routine nature of a tobacco cigarette purchase by a current smoker aged 21+ with an existing brand preference, in-store personnel can play a key role with respect to introducing the idea of an alternative such as TAATtm Original, Smooth, or Menthol at the point of sale. To this end, the Company plans to work with its wholesale partners to institute sales training programs for staff in an effort to open more dialogues for the purpose of driving conversions. Correspondingly, TAATtm plans to privately conduct audits to ensure sales procedures are being followed, in line with standard in-store evaluation protocols for the CPG industry.
  
• "TAATtm Twos" Small-Format Samples: Throughout 2021, anecdotes from TAATtm retailers indicated that smokers aged 21+ were often hesitant to purchase a full 20-stick pack to sample TAATtm for the first time. Because tobacco cigarettes are not offered in "sample" pack sizes, TAATtm plans to capitalize on this deficit by offering "TAATtm Twos"; a two-stick pack of TAATtm Original, Smooth, or Menthol as an approachable and low-cost option for sampling TAATtm. The Company believes that by lowering the barrier to sampling TAATtm it could improve conversion rates in settings such as gas stations.
  
• Integration with Chain-Wide Programs: Beginning this year, the Company will actively seek to participate in chain-wide programs of the national gas station chains whose stores currently carry TAATtm products, to optimize conversions at the store level with the assistance and supervision of the franchisor. By doing so, the Company could more easily penetrate new markets that are not serviced by its existing distributors through potential rollouts led by a given gas station chain at the corporate level.

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TAATtm Chief Executive Officer Setti Coscarella commented, "We are very pleased to have landed placements of TAATtm in over 2,000 stores in the United States in about one year of selling TAATtm at retail, and we are excited to have the opportunity to leverage this presence by optimizing our in-store activation tactics to prompt more smokers aged 21+ to try TAATtm. Although this is something we plan to do in all of our existing and newly added points of sale, gas stations represent a unique opportunity for us based on the initial performance of TAATtm in some of the largest chains across the country whose stores already carry the product. For motorists who are smokers aged 21+ filling up on gas wherever their travels may take them, the process of pumping gas, going into the store, and buying a pack of cigarettes is fairly routine and may appear to provide little opportunity to influence them to purchase an alternative such as TAATtm instead. However, between our initial gas station advertisements in Ohio last January and the performance of TAATtm in national chain gas stations across the country over the course of the year, we have come to better understand how to navigate the activation process effectively in that setting. As we develop relationships with these national gas station chains as well as the tobacco wholesalers with whom they do business, we have recognized this is a key segment of retailers for us in line with our objective to fortify our market share in the United States in 2022. We therefore look forward to executing these strategies in partnership with our tobacco wholesalers, capitalizing on our existing presence in gas stations to bring smokers aged 21+ a better choice."

On behalf of the Board of Directors of the Company,

TAATtm GLOBAL ALTERNATIVES INC.

"Setti Coscarella"

Setti Coscarella, CEO and Director

For further information, please contact:

TAATtm Investor Relations
1-833-TAAT-USA (1-833-822-8872)
[email protected]

THE CANADIAN SECURITIES EXCHANGE ("CSE") HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ACCURACY OR ADEQUACY OF THIS RELEASE, NOR HAS OR DOES THE CSE'S REGULATION SERVICES PROVIDER.

About TAATtm Global Alternatives Inc.

The Company has developed TAATtm, which is a tobacco-free and nicotine-free alternative to traditional cigarettes offered in "Original", "Smooth", and "Menthol" varieties. TAATtm's base material is Beyond Tobaccotm, a proprietary blend which undergoes a patent-pending refinement technique causing its scent and taste to resemble tobacco. Under executive leadership with "Big Tobacco" pedigree, TAATtm was launched first in the United States in Q4 2020 as the Company seeks to position itself in the $814 billion¹ global tobacco industry.

For more information, please visit http://taatglobal.com.

References

¹ British American Tobacco - The Global Market

Forward-Looking Statements

This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Often, but not always, forward-looking information and information can be identified by the use of words such as "plans", "expects" or "does not expect", "is expected", "estimates", "intends", "anticipates" or "does not anticipate", or "believes", or variations of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur, or be achieved. Forward-looking information in this news release includes statements regarding the anticipated performance of TAATtm in the tobacco industry, in addition to the following: Execution of the in-store activation strategies described in the press release. The forward-looking information reflects management's current expectations based on information currently available and are subject to a number of risks and uncertainties that may cause outcomes to differ materially from those discussed in the forward-looking information. Although the Company believes that the assumptions and factors used in preparing the forward-looking information are reasonable, undue reliance should not be placed on such information and no assurance can be given that such events will occur in the disclosed timeframes or at all. Factors that could cause actual results or events to differ materially from current expectations include: (i) adverse market conditions; (ii) changes to the growth and size of the tobacco markets; and (iii) other factors beyond the control of the Company. The Company operates in a rapidly evolving environment. New risk factors emerge from time to time, and it is impossible for the Company's management to predict all risk factors, nor can the Company assess the impact of all factors on Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ from those contained in any forward-looking information. The forward-looking information included in this news release are made as of the date of this news release and the Company expressly disclaims any intention or obligation to update or revise any forward-looking information whether as a result of new information, future events or otherwise, except as required by applicable law.

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