Aloha to you too, bro.
Don't mean to rag on Compaq all the time, but from my prospective as a purchaser of high end graphics equipment, I have noticed that Compaq is not a player in this segment.
They don't even advertise the machines they build. Even on the internet where the cost is almost nothing, there is no mention of Compaq cad/graphic boxes.
Granted, they have a great server program, and I know networking is where growth and profits are, but they ignore a what I would guess is a fairly large segment.
You say:
"The costs of delivery into the retail channel are significantly less. The profit margins on direct sale may surprise you."
What would I be surprised by? Please, surprise me.
Does you mean that the margins of selling through the VARS is less than selling direct? Really? The VARS must be squeezed. What can be cheeper than having a customer fill out a form on the net and pay with a credit card? But if that's the case, if the VARS are cheeper, give me some numbers and I will stand corrected. I still suggest most customers would a hard time finding them.
I ran a direct mail business for a few years and we made 400% after costs. I wouldn't expect those margins, but I would think that a 50% margin was possible.
Make it clear, I own thousands of shares of cpq, and I want to see success and profits. But from my present perspective, cpq is missing in a lot of areas.
Mahalo, and all that other silly tourist stuff. |
