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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?


To: Bilow who wrote (4168)5/10/1998 6:12:00 PM
From: Paddler  Read Replies (3) | Respond to of 164684
 
On brand again...

Yes, branding is long term, AMZN stops advertising they're all done. What they have now is brand momentum. I'd bet most people when you mention online book buying think Amazon. That's important. Most people who buy books haven't done so on the web yet, but they will. If Amazon can maintain that momentum they've won. The only real loss they've had is not getting on AOL's listing. That could hurt them alot down the road.

I don't totally disagree with the objections to my Coke and MCD analogies. Brand is a funny thing, it's the most valuable asset of your business but screw it up and your in big trouble fast. Plus you need to constantly take chances and spend loads of money on it to fight off the new guys. One other thing, from many years in direct mail marketing, is never underestimate the power of the brand. It doesn't mean that some unfunded company can come out of nowhere and capture the hearts of buyers (remember Ben & Jerry's) and be the market leader, it's just the odds are greatly against them. And just like in the stock market branding is a game of odds and I think the odds are with AMZN for the present.

-Rob



To: Bilow who wrote (4168)5/10/1998 10:39:00 PM
From: Glenn D. Rudolph  Read Replies (1) | Respond to of 164684
 

That brand loyalty argument had me thinking that there
are some odd things I am amazingly loyal to. Kraft Macaroni
and Cheese for instance. I've been fed it for near 40 years,
I pay a premium for the product and I've returned to it
repeatedly.

That said, I really don't care whether I buy it at Safeway,
Costco, Fred Meyer, QFC, or whatever.


Carly,

This is the point. You like Kraft Macaroni and Cheese. It matters not where you but it. It is the same product. Same as buying a book by Mark Helprin. Amazon is spending a fortune to create a brand name called Amazon. However, no one will care. They will just care about getting the book and the price.

Glenn



To: Bilow who wrote (4168)5/13/1998 1:19:00 AM
From: Skeeter Bug  Respond to of 164684
 
carl, the fact amazon would even consider advertisements to make money shows how desperate they really are! ;-)