Amazon.com, Inc. (AMZN) Message Board

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Technology Stocks : Amazon.com, Inc. (AMZN)

AMZN 223.72

+0.5%

12:36 PM EST

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To: Rob S. who wrote (48310)	3/31/1999 3:14:00 PM
From: BomboochaBoy	Read Replies (1) of 164684

The fact that we won't know for certain for several years makes Amazon's strategy that much more effective. The growth in sales is the most visible metric by which you can judge their success. ... for auction sales the average GROSS margin is about 4% according to their rate schedule I think Amazon's projections tend to be on the conservative side, if that. Four percent on auctions? My guess is they will exceed that easily in due time. Somewhere between eBay's 80% and this 4% figure, Amazon will find a profitable medium. So will the auction's buyers and sellers. Having this $250 guarantee deal is another first in e-commerce and doesn't hurt Amazon's "image" at all. And time is on their side, yes it is. The demographics are too compelling. Amazon is most popular, imho, with boomers who both buy their books, etc., and their stock. In other words, as long as growth, revenues and perhaps even net improve substantially, Amazon's believers will be there. Anticipation built into the price? Yes. Room for error? No. Increasing liquidity in the markets? So far, so good. Make that great.

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