SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Joe Copia's daytrades/investments and thoughts -- Ignore unavailable to you. Want to Upgrade?


To: hoffy who wrote (10697)12/21/1998 1:47:00 PM
From: Kimberly Lee  Respond to of 25711
 
RDIM looks tremendous. I am not sure about the 3-4 target, but 1 1/2 to 2 is practically in the bag. This stock is a huge bargain at 23/32. Jeffrey Hanken did some detailed research on the company:

To: ColleenB (12 )
From: Jeffrey L. Henken
Sunday, Dec 20 1998 11:35AM ET
Reply # of 52

RDI Marketing, Inc. is a Florida Corporation formed to fund, organize, consolidate and
operate locations within the Private Consumer Membership Industry.

National headquarters are located in Connecticut and correspondence may be addressed to:

RDI Marketing,. Inc.
Post Office Box 7143
Bloomfield, CT 06002

Telephone: 860-243-5530 Fax: 860-243-5426

I found this information in my investor packet. As for your other questions:

>What is the initial investment to join???...<

The initial membership fee and annual dues have not been set in stone. I don't know if there
will be a different fee for an individual membership as opposed to a family membership but
my investment packet outlines the industry as follows:

There are several factors that make it possible for the company to solicit and retain its
membership base, and point to an ever-expanding market of new members.

The 21st Century Consumer
Over 2.5 million consumers have already joined a Private Membership Club and typically:

Invest $1000 initial or more Totaling $2.5 Billion
Spend up to $2000 annually Totaling 5.0 Billion
Pay a nominal 5-10% service fee Totaling 375 Million
Commit to Annual Dues Totaling 625 Million
Total $8.5 Billion

Dual career, middle and upper class consumers have more money than time. They are
intelligent, and prove by the utilization of their discretionary dollars that they value their time.
Our research shows that this new consumer really does shop differently and that RDI
Marketing is right on target! Just consider the growth of:

Direct Mail Purchases
Catalog Shopping Growth
Explosion of Internet Applications
Electronic Commerce Developments
QVC-Style TV Shopping

These consumers are both price and service sensitive. They demand more value in all of their
choices. RDI Marketing has the facilities, systems and support technology to serve these
consumers more efficiently and at lower costs.

>Have you checked out some of their pricing structures to see if this is really a good club to
belong to?... are the savings that significant that a person would rejoin year after year?<

I think the key here is that RDI Marketing is acquiring already profitable membership clubs.
RDIM intends to streamline operations through the consolidation of operations and the
implementation of both intranet and extranet applications. The use of common software alone
will increase profit margins.

>And do they distribute an entire array of products or do they have speciality niches? Also, if
they carry a large number of big ticket items, this would be a vehicle for a person to join one
time to make their big purchase and let their membership lag after that. Just trying to get a
feel.<

RDI Marketing will offer tremendous discounts to their members on everything from A to Z
including automobiles to specialty items. I think you and other interested investors should
give the company a call and see if you can't speak with CEO John Folgers.

Regards, Jeff