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Technology Stocks : IFLY - travel sales on the web pure play

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To: ajunkh who wrote (1049)5/7/1998 9:13:00 AM
From: Prophet  Read Replies (2) of 4761
 
The other thing to remember is that a lot of these upcoming Internet agencies do not have the types of contracts and relationships that IFLY has with the airline industry. SABRE will be able to compete for the mere fact that the name is well recognized. However, there is no price flexibility at all in that service. Furthermore, I find that service hard to use. The bulk of Internet clients for IFLY will be mostly vacationers. The key for IFLY would be to forge relationships with vacation providers (e.g. hotels, cruise, etc.), perhaps by becoming a tour/vacation Operator at a grand scale. In my opinion, the bid advantage IFLY has is the business they make through the 800 number service. Its competitors do not have this advantage and would take a while to catch up to IFLY. That portion of the business by itself is growing tremendously.

The key to IFLY will be "Internet Visibility"; so be prepare to see a few losing quarters due to advertising expenses. That visibility would eventually pay off.
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