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Microcap & Penny Stocks : TSIG.com TIGI (formerly TSIG) -- Ignore unavailable to you. Want to Upgrade?


To: johngmack who wrote (44338)1/5/2001 5:13:08 PM
From: ztect  Read Replies (1) | Respond to of 44908
 
In response to your questions....


Who takes the responsibility for collecting, owning
and distributing this information, the retailers or TIGI/Affinity?

Regarding targeted marketing info, the responsibility is
clearly with Affinity's data base management component.
This is a profit center, since Affinity's programs and
models are proprietary and are a service provided to the product provider (eg. Pennzoil).

Are there sufficient incentives for the consumer to
devote time to register?


That's the whole point of "promotions". Giving people
incentives to 1). purchase the product and 2).sign up
and provide information whether
that's free internet, a chance to win a computer,
tickets or other products.


If the MMC does not have it's own value (product or
service), then what "value" does it have to "drive traffic
to other etailors to reduce the advertising costs"?


It has tremendous value to those other etailors,
who are looking to contain costs while directing
traffic to their respective sites, and retain customers.

As long as a card device w. a promotional model
is "proprietary", other companies can't simply
copy these models without infringing upon intellectual
property rights. Other etailors would have to pay
TIGI for use of those models like they'd pay any other
marketing and advertising agency. Moreover, TIGI
would still be in control of the data base generated for
extrapolation.

This doesn't preclude tigi from having its own
goods and services, since this still could be
a "both/and" situation rather than an either/or one.
Tigi apparantly right now is emphasizing what Affinity
does best....travel.

The key is to negotiate fees for services upfront rather
than counting exclusively upon deferred buy throughs of
product with the only incentive being low cost ie. slim
margins. (The charity profit sharing models w.
kids or whoever doing door to door sales doesn't work
WITHOUT a distributor network. This has always been the
problem. TIGI could have done this IMO without demanding
such high end upfront costs, and through other means.
However, specifically in regards to cd's, tigi imo
lost its window of opportunity through indecision.
Rather than spending all that money on fancy packaging and
mailings, a better return would have been gotten from LL,
for example, with people going into schools and directly
introducing the programs).
.

Anway the models are marketing ones to enhance offline sales
of goods in conjunction with directing traffic to
other sites through General Search, and could work
equally as well IMO driving traffic to AMZn or others,
who could be tied into other promo models w. major
offline consumer goods plus Fortune 500 companies.

Again, I'd repeat TIGI is first and foremost
a marketing company, so I don't think my assessment
is any less timely now than 6 months ago.

z



To: johngmack who wrote (44338)1/5/2001 5:37:07 PM
From: REW  Read Replies (2) | Respond to of 44908
 
John, MMC is just one of the tools to use to attract customer signups. Affinity wants that information. Since it is a product line they want it to have a productive value also--or else. That is the Roix philosophy. It's function as a point of interest will probably continue to shrink as additional tools are expanded or brought on board. If they get the cost factors corrected and have a functional product remaining, we will continue to see it.

Look at the last regional Coke deal. Over 155,000 individuals signed up. Those are potential customers for other products. Those contain the revenue and margin of profit as they are contacted and purchase various products. If the cost of obtaining 155,000 individuals as potential customers is near zero, would it be a good deal? These are probably ours to work in total. Coke sold more Coke. Both sides win.

Happiness creates return engagements so we may see Coke again. This time the new management will have controlled the deal from inception.

Look at Pennzoil. Pennzoil and TIGI go together to set up the deal. Pennzoil gets what they want -- customers drawn through the advertised offerings. TIGI gets what it wants -- the signup information or data base plus GS gains membership. Both sides win.

Think of a MyCard Membership Club. What if it works somewhat like this? It has various products, including the MMC. Join for a fee and get decently priced products. The joiner has to give information and many probably join GS too. GS may give a 6 or 12 month waiver of the monthly fee. Buy a Card for further discounts. More information. We win and it is ours from start to finish. OOPs, won't finish.

"Zero customer acquisition cost" is what TIGI is building on. Their idea is to control the money and have the customer data base from start to... Any revenue sharing with clients is to be done from Affinity's receipts. That is not to say there won't be exceptions.

Most deals won't have initial numbers in the PRs other than working details and actual and/or potential exposure from which potential customer data can be brought into the data bank--see eUniverse.

This is sort of the same principal as we used to talk about with selling additional Cards to customers. Now we actually have the system in place and the makings of a couple membership clubs with more in mind. It doesn't hurt to have the cash flow to run and build the company either.