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Technology Stocks : OnSale Inc. -- Ignore unavailable to you. Want to Upgrade?


To: Scott who wrote (3561)1/22/1999 2:32:00 PM
From: Zed  Respond to of 4903
 
Shopper.com cost comparisons - OnSale atCost 1st for 2 out of 5 products

Thanks Scott for posting a very interesting note. I followed up with the products and OnSale atCost was lowest in price for 2 out of 5.

The most significant competitor may be (or become) CMPexpress, run by CMP Media. They came 1st twice also, and they have a "lowest price guarantee", which may mean something.

Another thought - why couldn't ONsale (re)locate somewhere with no sales taxes to pay - e.g. Oregon. Being in California, they have to charge Californians some 8% sales tax and so make themselves extra expensive to the country's largest market.

I also checked their shipping costs - for the HP 720 printer the charges did not seem much more expensive than it really costs, so I don't see where the "shipping and handling" profit comes from.

I believe most internet shoppers are looking for lowest cost. But then I did find a couple of sites that charge over $100 above list for the Compaq Presario! I wonder who they sell to?

In summary, it looks like OnSale does have some clout on prices (cheapest for 2 out of 5, within $1 on one item, and within 10% on the rest isn't bad at all)

Good luck to them - I am holding.

Z