Bruce,
Some quick thoughts on DCLK from a sometimes-customer & partner:
- Dominant position in the market. Competitors such as 24/7, Adsmart, and Adforce have had terrible execution problems, whereas DCLK hasn't. Adsmart and Adforce are being rolled into CMGI, and merger issues are big.
- Very solid business model. Ad repping and ad serving is a fundamentally great business to be in. It's a great business today on a relatively low-bandwidth Internet; it's even better when bandwidth gets better and platforms proliferate (mobile computing). Everyone defaults to DCLK because they are known as the best solution, representing the best customers.
- Recognized as having generally the best technology. I have heard of no problems with their technology and ability to deliver for customers & publishers. Competitors have had BIG problems, resulting in lost sales.
- Outstanding management. O'Conner has put together a top-notch management team. Note that he's got a great board too (ie, Tom Murphy of CapCities/ABC).
- Rapidly expanding customer base of tier-one media properties.
- Outstanding work in International. Barry Salzman is excellent, and has a top-notch team in Japan, Europe, etc. through well-structured JV's.
- Out-of-the-box thinking. Moves over the summer in buying direct mail companies are very smart.
I just wish the company was cheaper. I'm hoping the current rocky market will enable me to buy about 30% cheaper than now.
DCLK is not a well-known company yet outside of the community. I believe they will be one of the dominant media companies within a couple of years.
Hope this helps,
OGM |
