I agree with you, the consumer has to know about this new service and then be willing to try it. That is why WAVE said they were promoting the idea to OEM's to bundle TRIAL software games into the PC. By doing this, the OEM does not have to buy software to bundle in with their computer (which is used to entice consumers to buy their PC). They can offer free software and take a percentage of the revenue, which is also shared with Wave and the software maker.
When Wave chips are pre-installed into the PC, the consumer can use the enclosed software on a rent-to-own, or per play basis. The same thing could be done with music and other software products. Consumers are getting tired of buying games, music, etc. without ever knowing if they like the product. Wave will eliminate that problem and provide the OEM with a new revenue stream that was never available before.
Once WAVE has a good base of distribution, Direct Marketing campaigns will probably be conducted. For instance, Columbia Music Club could send announcements to buyers of PC with the WAVE chip installed informing them of a special web site allowing for trial listening on a fee basis before a consumer purchases. Or game software makers can mail copies of their latest games to consumers which can only be accessed via the Wave chip, etc. The marketing opportunities are endless, but mass distribution is critical.
In regards to Cybercash, they can charge as little as $.25. That hardly makes them a contender in the Micro-purchase arena. Plus, their software is a pain to download. Last time I heard, they had about 1-2 million people who have downloaded their "Wallet" and they have not generated much revenue yet. But their stock price is still in the $16-$17 level, down from a high of approximately $60-70. Needles to say, WAVE is incredibly cheap at the $1-2 range with lots of room to move once distribution of the Wave chip starts.
Good luck......John |
