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To: Freddie Forte who wrote (26408)2/16/1998 11:00:00 AM
From: Nicholas Orlandi  Read Replies (2) | Respond to of 30240
 
you can not have negative revenue. it is revenue - returns and allowances = net revenue. So they had a tremendous number of returns. I guess all those end caps did not sell at all and the product got sent back as soon as the stores saw it wasn't moving. Since they have given up on R&D and doing their own thing - they have got to pick up with the advertising expenditures and exposure. You can have the greatest product in the world but unless people know it is out three you are lost. I guess european mkts did nothing. So what about let the company put the returns to use. Recycled cardboard revenue and the cd's make great rear view mirror decorations for rednecks. Just deal with the situtation. And if it is not selling in stores - what guarantee is there people will do it if demos are packaged in there. The best thing I thought he did was the AOL ad as soon as you logged on - at least he hit his target market.



To: Freddie Forte who wrote (26408)2/16/1998 11:10:00 AM
From: Jimily  Read Replies (1) | Respond to of 30240
 
It really gets tricky if you consider their marketing cost for Q96 was the same as Q97..We only had one product in Q 96