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Strategies & Market Trends : The GUMMMy Bear Squad touting Gum Tech (NASDAQ: GUMM)

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To: Mad2 who wrote (76)12/29/1999 10:57:00 AM
From: Carl R.  Read Replies (1) of 207
 
Mad2, I agree that the product is "a bit funky", and sounds disgusting to use. In actual practice they have done a good job devising a system of delivery, which is probably why they have a significantly larger demand than the nearly identical product you cite in your intro to this thread. Using the product is "a bit funky", but not nearly as funky as one might imagine, and certainly much more pleasant than the actual cold itself, and actually much more pleasant than the "drugged up" feeling that one gets from standard cold medicine.

There is no question that a pill or liquid would be easier to sell. There is also no question that a large advertising budget combined with prime positioning in stores (at the checkout, or end-of-aisle displays) would significantly improve sales. On the other hand, the fact remains that people don't like colds, and as a general rule they don't like being "drugged up". Many people are open to trying new solutions to the cold problem, especially if they work. Isn't it possible that word-of-mouth could create significant demand for an "unusual" product that actually works. Remember the old saying, Build a better mousetrap and the world will beat a path to your door? Does it still apply in a world that is saturated with advertising?

Obviously if the product doesn't work, it will fail. Based on my personal experience sucking on Zinc, I see every reason to believe that the product should work. If it does work, what do you think the chance of success is?

My personal opinion is that if the product works, once they have created an initial demand and established a market presence they will have the opportunity to sell to one of the large drug companies. Only if they decline that offer and try to capture the whole market for themselves will they fail.

Thanks for the courteous replies,

Carl
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