From SmartStockAdvisor: TOPIC #2: Marketing Initiatives
Here is the second in a series of topics designed to highlight elements of HouseHold Direct.com's business plan.
An aggressive marketing campaign has been designed and partially undertaken at this point. The goal is to increase membership dramatically through acquisition of strategically located buying clubs across the U.S. while undertaking a conversion of those members to the HouseHold Direct model. A separate marketing campaign to test market new memberships at various price levels is also underway. From acquisitions currently pending and finalized, a total of 270,000+ monthly paying members is anticipated. Discussions have been initiated with AOL, @Home, WebTV & MSN as strategic partners. Quick growth in member areas will give the Company leverage to obtain favorable pricing from manufacturers and suppliers. Some additional marketing efforts include the following:
a) A respected telemarketing company has been hired with a goal of enrolling 10,000 members in preparation for the enhanced E-commerce shopping portal that is scheduled for launch in January, 2000. Phase I of this marketing program is underway and will include Atlanta, Georgia and Birmingham, Alabama.
b) BannerDirect, a full service direct marketing agency, has been selected to create, design and implement the national and regional marketing programs for HouseHold Direct.com membership, solicitation, acquisition, activation, retention plans and initiatives. The agency is one of the country's national leaders in marketing financial services and products. Past and current clients include First Union Bank, EAB, People's Bank, U S West, and MasterCard International.
c) An Internet Service Provider (ISP) referral program is under serious discussion, whereby the ISP would offer a single monthly charge that would include their ISP fee and an E-Commerce membership to HouseHold Direct. In return, the ISP would make a small percentage each month of the HouseHold Direct fee. This would provide immediate exposure of the Company's services to potentially millions of ISP users.
d) A Fortune 1000 employee benefits program is planned whereby the Company's sales force would contact the Human Resources divisions of companies with the intent of offering them a special HouseHold Direct membership program for their employee benefit and loyalty program. Under provisions of the program HouseHold Direct would return back to the subscribing Company up to 2% of their employee's purchases.
e) The Company is working on affinity programs for the National Association of Home Builders and
other large real estate operations so that new homeowners can receive a HouseHold Direct membership for their immediate use.
Disclaimer: SmartStockAdvisor.com is a compensated agent of HouseHold Direct.com, Inc. SSA
has been hired to perform investor relations for the company and is being compensated as follows
monthly: $9,000 cash, 20,000 stock warrants with an exercise price of $0.10, 15,000 stock warrants with an excise price of $0.25, and 15,000 stock warrants with an exercise price of $0.50 for a three month
period ending February 22, 2000. These warrants expire November 22, 2001. Some individuals
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HouseHold Direct.com, which collectively amounts to less than one half of one percent of outstanding
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