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Microcap & Penny Stocks : TSIG.com TIGI (formerly TSIG) -- Ignore unavailable to you. Want to Upgrade?

To: KC650 who wrote (20574)	3/16/1999 8:25:00 AM
From: REW	Read Replies (3) \| Respond to of 44908

I don't think the merger of CDNW and NTKI will be of major importance to TSIG. The merger looks to have been an effort by both to stay in business. The combined efforts of the two companies will reduce the monetary leakage but the marketing model still doesn't look to be a major competitive challenge. Their repeat customer projections still only place a little over 1 million customers coming back this year to repeat as a buyer of a CD. The advertising expenses are still eating them up as they attempt to attract customers. TSIG does not have the advertising expenses to hamper it's growth of earnings. The projected growth of MusicCard sales are much larger than the paltry 1 million+ customer return purchasers CDNW projects or even the total customer CD sales visit projections. Remember every MusicCard TSIG places indicates a return customer and a percentage of them will come at the expense of CDNW. CDNW has to buy their customers through advertising while TSIG entices others to obtain customers for us through revenue sharing. TSIG makes a profit on each MusicCard customer. Each MusicCard customer then has a semi-obligation to be a return purchaser for 20 CDs. Essentially a repeat customer can be identified by TSIG as a MusicCard repurchaser. That is another 20 CDs. The competition counts a return customer as one that came back for another CD. Given the service and product selection at discounted prices, which are less than the competition, MusicCard owners should have no problem returning as repeat customers.