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Technology Stocks : CheckFree (CKFR)

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To: jjs_ynot who wrote (8403)10/29/1998 9:21:00 PM
From: TLindt  Read Replies (1) of 8545
 
How did I get 4 in a row...I give up watching A.W.

cbs.marketwatch.com

Keenan does believe that CyberShop's partnership with Tops will be an advantage. "All these online retailers need to plug in to the existing distribution networks at some level," he said.

SUBSTITUTE BILLERS FOR RETAILERS, knowing full well that is what is being built here.

The Electronics.net will ship their items from the inventory at Tops stores, which are mostly in New York and New Jersey. For orders above $100, items will be shipped free via 2-day delivery from Federal Express. Tauber admitted that practice will eat at margins but believes will help attract consumers through word-of-mouth advertising.

Word of mouth, or "viral marketing" as Tauber called it, will be important for Electronics.net since it is not spending money to get distribution on the large Internet portal sites like Yahoo or America Online. "It's a trade-off. You can either waste money on a $15 million, three-year deal with a portal or pass the savings on to the consumer."

The company will initially be focusing its traditional marketing strategy on radio campaigns in Boston, Washington and New York. The company is also driving across the country in a van inhabited by women tossing out Electronics.net hats, T-shirts and coupons.

THAT'S NOVEL

It's a marketing strategy that Keenan disapproves of ."You need an aggressive real world marketing campaign if you're not going to be buying a lot of portal links," he said.


SUBSTITUTE..BANKS GET OFF SQUARE ONE, the idea is not novel..it's a fact in physical goods distribution and digital distribution, portals own this net...all off it.

There are a lot of comparitives here you just have to parallel the 2 physical and digital distribution methods, but they are similar in logistics....just a habit of mine...keep coming up with crap until somebody sees a business out of it.
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