Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

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

To: Oliver & Co who wrote (3628)	2/3/1999 9:21:00 AM
From: POLETO	Read Replies (2) \| Respond to of 4903

ONSL hopes to make 7 to 9% gross margin through At cost sales news from bloomberg.

To: Oliver & Co who wrote (3628)	2/3/1999 12:03:00 PM
From: Don Wellington Jr.	Respond to of 4903

Thanks for the info. There is a lot going on with OnSale and related partners. Yahoo buys GeoCities. Tech Data ( the mirror catalogue for all the At Cost products) reports terrible sales and drops 30% today. OnSale now being identified as the provider of Yahoo Auction. Internally, OnSale is still having problems expanding their merchandise listings on the auction. I represent a major vendor to OnSale and we have sold out product and are slow to replenish with new values, although we are working very hard to come up with additional items. Our sales are off approximately 25% from Nov.-Dec, attributable to reduction in number and value of items provided to OnSale. OnSale's new category development is slow. The numbers of items being posted in Hardware, Housewares, etc are very small. They are struggling to maintain sales volume, even though they still have their bidders. All that aside, I predict OnSale's future will be tied to strategic alliances and/or mergers. Although with a concentrated effort OnSale could fill their merchandise needs, and get back on track. I am long and will hold for at least a month more.