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Biotech / Medical : GUMM - Eliminate the Common Cold

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To: Bob Trocchi who wrote (2651)10/18/2000 1:27:14 PM
From: DanZ  Read Replies (2) of 5582
 
Bob,

I don't know why a store in a chain like CVS doesn't carry Zicam. Some chains require all stores to carry it (e.g. Albertsons and Walgreens), and others give their store manager discretion (e.g. Wal*mart). Perhaps CVS falls into that category. CVS was one of the few holdouts last year, but it is my understanding that some of their stores carry it now. Safeway was the last major grocery store chain to stock Zicam because they wanted to see hard marketing data first. The fact that they started carrying Zicam this winter must mean that they like what they saw in the marketing data.

Without knowing more details, I can't give a lot of credibility to a claim from one particular store employee that there is no demand for Zicam. This is contrary to reports from buyers at other retailers, and I'm curious how the employee would know anything about the demand for a product that they don't carry. Companies don't build a brand name overnight, and yes I agree with Hank that it takes advertising. I think that Gum Tech is doing what they have to do to get the word out. Hank's general comment such as "the advertising is pathetic" sounds like hype. Why is it pathetic? If someone genuinely wants to have an honest discussion, they would say why the advertising is pathetic and provide suggested solutions to whatever concerns they have.

I will try to get a more direct answer to your question about CVS and post what I find, if anything.

Thanks,

Dan

PS to Hank: I said that I think GUMM will trade to $60 IF certain things happen. I would never make a blanket prediction like that. The things that I opine have to happen for the stock to trade to that level haven't all occurred yet, although some have (Hirt publication). The year isn't over yet. BTW, my prediction for 32 by the end of 1999 came true a month late, and you posted the same opposition to that prediction that you are posting now.
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