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Technology Stocks : Amazon.com, Inc. (AMZN)

AMZN 233.22

+1.8%

Nov 28 9:30 AM EST

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To: Glenn D. Rudolph who wrote (105450)	6/25/2000 10:56:00 PM
From: Randy Ellingson	Read Replies (1) of 164684

I am going to throw a question back at you. How do you see Amazon creating a positive bottom line when they must always continue to market heavily to keep and grow revenue? Let's keep in mind there is no impulse walk in traffic. No drive by traffic seeing their sign on one of their brick and mortar stores. No easy way to sell slow moving merchandise using visual aids. I'll take the easy way out and say that Amazon won't always have to market heavily to keep and grow revenue. I know that's maybe not helpful, but I see them becoming a convenient answer to the "I want to buy such-and-such now, and want to buy it over the web, so I browse over to..." There's no reason they can't offer close-out items as impulse purchases at their own virtual check-out line. The little ad that shows one or two specials on the checkout web page perhaps? I doubt that route will be as effective as the time spent waiting in a real checkout lines (I hate lines). I saw you said that $4B wouldn't do it, but do you think there's a critical annual sales level at which Amazon can suddenly post a consistent profit? Randy

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