If anything has a reason to run, it's this one.
Virtual Technology Corp. Announces Major Marketing Campaign On MSN's Sidewalk.com
MINNEAPOLIS--(BUSINESS WIRE)--Dec. 29, 1998--Virtual Technology Corp. (OTC BB - VTCO - virtual-world.com), a premier technology reseller, announced the commencement of a major marketing campaign targeting MSN Sidewalk's (http://www.sidewalk.com) increasing customer base.
The campaign is aimed at building brand awareness and market share for www.virtual-world.com within strategically targeted local markets with long term plans to add additional cities.
VTC will initially be located in MSN Sidewalk.com's yellow pages in Minneapolis, San Jose, Calif., San Francisco, Los Angeles, San Diego and Orange County, Calif. With more than 60 percent of Internet users buying in their local communities after doing online product research (Ernst and Young 1998), Virtual Technology could significantly increase its market share in these strategically targeted markets with more locations to come.
With more than 45 million users today, up 50 percent from last year and projected to nearly double to 85 million users by the year 2000, the Internet is the fastest-growing medium of all time.
MSN Sidewalk is an online guide to products, services and entertainment, featuring a Buyer's Guide, an Entertainment Guide and Yellow Pages, that allows consumers to make better decisions about what to do, what to buy and where to buy it in their area. By combining editorial insight and reviews with innovative technology tools, MSN Sidewalk makes it easy for consumers to find the information they need to make great decisions in one location. MSN Sidewalk is featured on the Microsoft Network, the third most frequently visited network on the Internet (Media Metrix 1998).
One of the strongest factors that Virtual Technology has in this market segment is the series of alliances that have been established with a variety of players. These alliances drive business to the site, strengthen ties with the customer, attract repeat business and strengthen Virtual Technology's position as a category leader.
One such alliance is with Ingram Micro, the world leader in it's field, which provides unparalleled access to a broad range of products which is comprised of more than 40,000 products from over 1,000 vendors. Most major brands are represented: IBM, Compaq, HP, Umax, Diamond Multimedia, 3Com, Cisco, Microtek, Sony, Hitachi, Acer, AST, Syquest, CTQ, Kingston, Iomega, Viewsonic, Canon and many others.
To further strengthen Virtual Technology's position in the market, there have been a number of category firsts: Virtual Technology was the first to offer free shipping, first to provide on-site service contracts for merchandise sold over the Internet, and the most recent first: a completely integrated, customer friendly, "one click" capability, "One click" capability is innovating the way consumers buy computers over the Internet though the implementation of the first, fully integrated, E-commerce business management system. "One click" allows customers to check real time availability and pricing of thousands of computer products we offer from multiple distributors.
Virtual Technology's new service offers extended warranties and on-site service for equipment sold via our Web site: virtual-world.com. For the first time, online consumers are able to select from several service options which may extend the manufacturer's warranty for up to four years and also provide on-site service instead of the traditional carry-in parts-and-labor warranty.
95 percent of VTC's orders are shipped by 5 p.m. the same day from an inventory of more than 42,000 SKU's available at regional warehouses strategically located around the USA and abroad. Backed by Ingram Micro and Graphics Technologies Inc., its primary suppliers. VTC guarantees satisfaction and top caliber customer service.
Customer can access virtual-world.com 24 hours a day, 7 days a week through home or office computers. Selection is made from very selective high performance, proprietary and brand name products available at the very best prices. Detailed descriptions and photos are also available.
Customers may browse through an easy to navigate Web site or use customized searches or inquire direct via an "800" service. Once a desired product is found, the customer puts it into an online shopping cart. When all their shopping is complete the order is placed automatically through a secure online payment system or by calling our toll free order department.
Customers are immediately notified of the status of the order and the merchandise is shipped directly to the customer from the vendor warehouses, passing the cost savings onto the customer.
About MSN Sidewalk
MSN Sidewalk is free on the World Wide Web (connect-time charges may apply) at sidewalk.com and is a featured offering on The Microsoft(R) Network at msn.com. MSN is the network of Internet services from Microsoft that helps people better organize the Web around what's important to them. MSN offers award-winning e-mail functionality; personal communications services; customizable access to news; popular sites for travel, investing, automotive services, shopping and more; an online community; a Web search engine and directories; and top-rated Internet access. MSN Sidewalk has been integrated into the MSN network of Internet services, which makes it easier for consumers to keep in touch, stay informed and get more done.
Founded in 1975, Microsoft (Nasdaq "MSFT") is the worldwide leader in software for personal computers. The company offers a wide range of products and services for business and personal use, each designed with the mission of making it easier and more enjoyable for people to take advantage of the full power of personal computing every day.
About Virtual Technology Corp.
Virtual Technology Corp. (OTC BB:VTCO) is a publicly held Minnesota based company with offices in Minneapolis, Minn., incorporated since February 1996. VTC is an online retailer of computer hardware and software products. The company's strategy is to become the "Premier WWW Site for Speed, Power, and Graphics" through its focus and marketing strategy, depth of market selection, competitive pricing and high quality content. VTC recently announced plans to acquire Graphics Technologies Inc. (GTI) with 1997 revenues over $83,000,000.
Statements in this Press Release that are not purely historical are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements regarding VTC's expectations, hopes, beliefs, intentions or strategies regarding the future generally, VTC's growth strategy, future sales and anticipated trends in VTC's business. All forward-looking statements included in this Press Release are based on information known to VTC on the date hereof, and VTC assumes no obligation to update any such forward-looking statements. It is important to note that actual results could differ materially from those in such forward-looking statements as a result of a number of factors, most of which are out of the control of VTC, including, but not limited to, VTC's early stage of development, its lack of profitability and cash flows and competition for the sale of hardware and software products both on and off the Internet. As to the proposed GTI acquisition, there is no assurance that VTC will successfully negotiate a definitive agreement, obtain the necessary acquisition financing, close the transaction, retain GTI's key personnel and successfully integrate GTI's business into VTC's operations.
CONTACT:
Virtual Technology Corp.
Ken Israel, 612/915-1122
keni@vamail.com
or
Makenna, Delaney and Sullivan
Robert Sullivan, 760/931-2500
rs@venturefinance.com
or
Lanzet Inc.
Herb Lanzet, 212/687-0061
lanzet@aol.com
KEYWORD: MINNESOTA
BW1049 DEC 29,1998
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