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Technology Stocks : Compaq

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To: Elwood P. Dowd who wrote (70690)11/1/1999 10:03:00 AM
From: rudedog  Read Replies (2) of 97611
 
El -
TV ads are expensive and target the consumer, not the business customer. CPQ already dominates the consumer segment, and that segment represents only 15% of CPQ's revenue and 1/3 the profit of the enterprise group on a percentage basis.

No one is buying million-plus systems based on TV ads or via the web.

Given the good growth of the consumer business with the current strategy, I would not be happy to see more money put into consumer sales. I would rather see ad money go to well-targeted enterprise ads, which would be in the trade magazines and other print media.
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