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Technology Stocks : Digital Ally Inc. - DGLY
DGLY 1.610-1.8%Nov 7 9:30 AM EST

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From: David Alan Cook9/28/2008 11:31:24 AM
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Impact of Selling to your existing and growing customers:

During the last conference call, DGLY CEO commented that the number of customers was increasing (up 300 from 1700 to 2000) in the second qtr, the average deal size had increased to over $9,600 and the number of customers placing reorders was growing.

We sometimes overlook the obvious - what impact to revenues and the bottom line if each existing customer bought only one additional DVM-500 during the third qtr, how about two . . . etc?

2000 customers time $4,000 (Price of one DVM-500) = $8 Million in revenue
2000 customers times $8,000 (Price of two DVM-500s = $16 Million in revenue

As we wait and watch for the upcoming announcements of the 12 or so Request for Proposal winners, each with between 300 to 500 systems, AND as we wait for the surprise "elephant contract" worth between 1,000 and 4,000 units; we should keep the obvious perspective and impact of RESELLING to existing customer base in perspective.
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