To: CGarcia who wrote (357 ) 12/1/1998 1:56:00 AM From: Elroy Read Replies (2) | Respond to of 1932
1. AOL is certainly an advantage, but don't you think consumer may look for stuff at Circuit City's web site or IBUY.com's web site or Shopping.com's web site as well? Since you can do it from home, a shopper might just look at all three and choose the least expensive product? 2. As for the aliance between the 8 companies, I just went to COOL's web site (www.cyberian.com) and I don't see anything about CDNow, much less the other 8 companies. Can you provide some support that shows how a person looking at CDNow's web site may end up in COOL's web site? I just went to CDNow's site, and there is the smallest URL 2/3rd the way downt the page that says "partner's web sites" which I imagine includes COOL's. I hope you aren't counting on this URL to get CD buyers to suddenly buy computers from COOL. In fact, never mind, that URL doesn't even include a link to COOL's site. Enough for the press releases, how are CD shopper's going to generate revenue for COOL?? 3. Commercials- Branding is definitely great. We shall see if consumers prefer to buy electronics on line from Circuit City, etc. or from COOL and their amusing flying gerbils.... I still wonder why people here think that consumers will buy on the web from a company called Cyberian Outpost rather than a company called Circuit City or Frye's or CompUSA or whatever? And I am especially curious why you think the stock should trade at $100 when all that COOL does is distribute electronics, a pretty low margin business, albeit over the Internet. There are low, low barriers to entry, right? Elroy BTW - I have no stake in COOL, but I wonder who bought it at $40+?