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Non-Tech : Any info about Iomega (IOM)? -- Ignore unavailable to you. Want to Upgrade?


To: Bill Lin who wrote (51347)3/26/1998 4:25:00 PM
From: Ron Overs  Respond to of 58324
 
Bill you're right on!! My wish list would include, additionally a
"Micron" type note book, self powered drive for < $200. for my Toshiba.
I've ridden this stock for over 3 years - a real experience. I swear I would have sold out except for the great dialog on this thread. Thanks to all.



To: Bill Lin who wrote (51347)3/26/1998 4:41:00 PM
From: Rocky Reid  Respond to of 58324
 
Re: Another "WHAT iom SHOULD DO" post...

1. cut zip retail price to $79.

Will kill margins. Elasticity of demand would not realize a greater profit. May increase sales numbers, but profits would disappear.

2. cut zip disk gig packprice to $60.

See above.

3. cut jaz retail price to $180.

For those who question if Syquest can possible sell SparQ at a profit @ $199, would do well to wonder if Iomega can make a profit with Jaz @$180.

4. cut jaz disk price to $60

I posted a link where I actually saw this ($59) I was ridiculed for it of course, but I was only trying to be nice to any Jaz owners out there.. Did anyone take up the offer?

5. cut jaz2 retail price to $250

This is something Iomega could probably do. But increased Jaz sales would not make up for the slowing retail Zip sales they now face.

6. cut jaz2 disk price to $110

This may make Jaz2 more appealing. But see above.

7. buy Castlewood and get Orb technology.

Something tells me that Sy Ifkar(sp?) guy isn't the type to sell out that easily. Plus, they already have agreements with a huge Japanese firm to make and distribute Orbs.

a. scrap the 2 gig drive

b. build a 2 disk version of the 2 gig drive, using MR technology and 2.88 gig/platter media ==> 5.7
gig capacity
c. make sure that this will work with future media increases (almost impossible task IMO) of 3.2
gig/platter, 3.8, and 4.1/4.2 gig/platter.


Well, Iomega dug themselves a hole just trying to make Jaz2 compatible with Jaz1. They were/are half a year late. The result is an overpriced monster whose performance has been reviewed as spotty, and actually 30% Slower than Jaz 1gig when using Jaz1 gig discs.

8. launch clik! with $150 retail price
9. sell clik! disk for $8 retail.


Vapor! is also D. O. A, no matter what price it is offered. Flash cards are simply Standard. They are reliable, robust, durable, and proven. Vapor! is not. Flash is getting much cheaper all the time. Vapor! is getting more and more obsolete all the time, and it has at least half a year yet to go in appearing anywhere!

10. launch Pcmcia reader for clik! drives for $150. do not create desktop version. (they can bundle a pcmcia desktop adapter with this product, and reduce their r&d and stock keeping units).

Do you mean a docking unit like Palm Pilot? I think they are already considerig this, since Vapor! IS NOT Zip compatible. This is a killer. If Vapor! were Zip compatible, it might have had a shot at selling units at least to a lot of current Zip owners. Now there is no incentive.

11. redo the advertising campaign to emphasize NOT quality of life, but the hassles of using 3.5" floppies to back up info. Zip is an ease of use device. so is Jaz 1/2.

No amount of advertising would convince me to buy a cat litter box when I don't have a cat. Most people have no need for a Zip. The huge hard drive people have in their computers WILL NEVER be filled up by the average computer user. Most users don't back up their hard drives now. How would Iomega convince them otherwise?

12. reduce spending on TV ads and maintain ads in PC magazine, and other computer related journals. forget about newspaper ads, unless they are co-sponsored ads.

At least this approach would concentrate on Iomega's core audience--techno geeks. But this does nothing to expand the market, which is Iomega's problem in the first place.

13. cut SGA to 5% of revenues.

14. spend on capacity increases (in q3/q4 when this excess inventory dries up)


Iomega already has an inventory backlog of over 4 weeks.

15. increase r&d to 5% of revenues

If Iomega could come out with new technology similar to that new OROM thingy (except rewritable) it would be huge. But this is a big IF.

16. MAKE SURE WIN 98 IS 10% DISTRIBUTED IN ZIP DISK FORMAT!!! give MSFT the disks if they need to...

This will never happen. W98 CD's can be mass-stamped and distributed for literally .05› per disc. w98 (since it is a Microsoft product) promises to eat up a lot of space- say 300MB for the OS alone. This would have to be 3 Zip discs. Why bother switching discs in the middle of installation when one CD will do? Besides, Cd-Roms are Standard on every single computer sold these days. Zips are not. Way not.