>>The resellers can't sell what people don't want. <<
Now you really do surprise me Drakes, I fear for Inacom, DataGeneral, Telsource,et al, if they are in the business of marketing and servicing "what people don't want".....
>>Dilution has made any meaningful recovery that much more difficult<<
That's a given, but my point about RACE is that they are waypast the point of "share value dilution" being the primary concern. If the resellers start making sales, this conversation about the financing vehicle will be just noise....I mean didn't you just say they are selling something people don't want, well, if you're incorrect in that assumption....Bottom line issue here is sales....the jury is still out, but prospects appear to be improving .
>>why do I like AOL? The franchise,the partnerships, the brand recognition, the 60% market share, the revenue growth....<<
Interesting, those are some the fundamental reasons why I dislike the company. Probably one of the worst franchises on the planet as far as user appreciation is concerned, which of course leads to the brand recognition, the ongoing joke being Americ On Hold...Talk about a company that can't give their product away..As an example, they did have a good marketing scheme somewhat like the razor companies, give the razor away, and they'll come back and buy your blades. Except for one major flaw, they're a service company and they give lousy service. I downloaded one of their earlier "giveaway" products just to see what was there, cancelled after 2 hrs., but of course it took AOL 3 months and several calls to AMEX to get credited back on my account, guess those "free" hours weren't so "free" after all. I have to hand it to them though, multiply 3 months x how many? Wonder what kind of cash flow that generated short term. Which leads to 60% market share, how sustainable is 60% when your fed up customers leave and you have to "give it away" to sign up new subscribers? Which of course ends with revenue growth....I think until they can address the quality of service issues I've mentioned here, that one is suspect as well.
They may be able to work through these issues, but for now I consider AOL a house of cards waiting to collapse under it's own weight. Oh I forgot the biggest reason why I dislike the company.....the management! bp |
