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Microcap & Penny Stocks : Tokyo Joe's Cafe / Societe Anonyme/No Pennies -- Ignore unavailable to you. Want to Upgrade?

To: Michael Hardin who wrote (60776)	3/10/1999 11:30:00 PM
From: Frost Byte	Respond to of 119973

Fancy An Amazon CD With That Dell PC? 08:39 p.m Mar 10, 1999 Eastern By Andrew Hay NEW YORK (Reuters) - Like store clerks offering that last minute, must have buy at the cash register, top Internet retailers Dell Computer Corp. and Amazon.com Inc. Wednesday began advertising each others products at their online checkouts. In a unique marketing pact that is expected to be much copied in the electronic commerce world, Dell Wednesday began asking online shoppers if they needed a book from Amazon.com to go with their new PC. And Amazon.com began asking shoppers if they fancied a Dell PC as they approached virtual checkout counters with orders for videos or compact discs. The deal allows the Internet's biggest PC seller and its No.1 book and music seller to share millions of customers who might not previously have thought of buying a computer or book online. It gives Dell another outlet in its hugely successful strategy to sell PCs straight from the factory to the customer over the Internet. Amazon, which is diversifying out of its core music, video and book product lines, gets a direct link to a blue-chip computer product as well as a powerful partner. ''It's the ability to swap two large traffic streams,'' said Standard & Poor's Equity Group analyst Megan Hackett. ''The sum of one plus one is greater than two.'' Under the partnership, shoppers paying for purchases at Amazon.com and Dell online retail sites will see an icon that if clicked will take them to Web pages offering the companies' products Dell said the marketing pact took just a few months to put together and will continue to develop at the same pace. ''We would certainly look to maintaining that kind of trajectory as we move forward,'' Bob Langer, who runs Dell's online shopping and information sites, told reporters in a conference call. Langer declined to give specific targets the companies are aiming at as they develop their Web partnership. He said it was the first time Dell, the No. 1 direct seller of PCs, had entered such a partnership with an Internet company. It was also the first time Amazon.com had entered this type of Web marketing pact with a computer systems firm. Financial terms of the agreement were not disclosed. Shares of Dell closed at 43.31, down 75 cents on the Nasdaq. Amazon.com finished up $7.19 at $137.13. PC makers have already done deals with portal sites or Internet gateways to beef up their Web presences. Compaq Computer Corp. acquired Web navigation firm Alta Vista and now plans to spin off the unit. Gateway Inc. did a deal with Yahoo Inc. to offer jointly branded Web pages. The Dell-Amazon deal is somewhat unique in that it involves an electronic commerce pact between a traditional technology firm and a leading Internet company, Hackett said. Southwest Securities Inc. analyst Cody Acree said he expects to see other marketing alliances between online retailers whose products do not compete. ''It's a natural progression, Internet retailers are becoming more dependent on each other,'' Acree said. Round Rock, Texas-based Dell currently sells more than $14 million in products each day over the Web, which accounts for 25 percent of its business. The company intends to do 50 percent of its business on line by the end of 2000. Seattle-based Amazon has ambitions to expand into numerous other product areas. In late February, Amazon.com said it had bought a 40 percent stake in closely held Drugstore.com and would market the firm's drugs, cosmetics and personal care products.