To: CrayUSA who wrote (26971 ) 4/27/1999 10:39:00 PM From: REW Respond to of 44908
******POINTS OF PROGRESS***THE FUTURE OF TSIG.COM****** There are a few additional things in the mix for the future expansion of TSIG.com. The expansion will be in many areas. All will be directly related to increasing the revenue and exposure of TSIG.com. 1. The My MusicCard site has been completed and is on-line. Expect the further functions to be added as soon as possible (DVDs, Amplified, Custom Revolutions, etc). Also expect other functions to come into play as we go along. TSIG.com should be, and probably will, be prepared to accept market changes as they come along. 2. The My Card product line has been expanded beyond just the My MusicCard to include the PhotoCard utilizing Kodak processing and materials. I'll be waiting for the My PhotoCard site. The line has also added the sale of all DVDs. VideoCard probability? Further additions to the My Card line may be instore for us as TSIG.com progresses. Could the progression into the further involvement of Card product expansion be leading to a self contained mall--maybe My Card Inc? 3. The Irvine, Cal location has been identified as the fulfillment house of TSIG.com for the acceptance and shipping of CD and film orders. Taking this responsibility internally will raise the profit margin on the sale of CDs. Smart move. To open soon. 4. Nettaxi has partnered with TSIG.com in what will be an exclusive representation with TSIG's products. This portal arrangement exposes My MusicCard presently to approx 2.7 million hits a day. Hwang will be constructing the MyNettaxiMusicCard site for this function. The Card product line has just been taken global on one of the top 40 activity listed sites. This expansion of TSIG.com's My Card product line's exposure throughout the internet is only the beginning. 5. Gordon has stated TSIG.com will become one of the major supporters of the charitable industry. Already My Card Co is represented by the National Music Foundation, The Babe Ruth League, and Lifetime Learning plus other small deals not mentioned. Indications are there will be additional representations shortly and into the future allowing for compounding growth from this area. The impact could reach to 1/3 of the top 50 charities in a short period of time. 6. The PromoCard is alive and well. The first deal is apparently near done. Did he say one million cards a week? I bet we recognize the name. Also indicated is the possibility of completing additional PromoCard deals at up to one a month. The earnings are indicated up to $5 million and possibly more per national PromoCard deal. These earnings come quickly. Don't forget the product sales that follow. 7. The Babe Ruth League is now getting it together to represent the My MusicCard. There should be a very nice push coming up for the All Stars competition. From what I understand, the expenses of the teams will be very high and the kids work diligently with the fund raiser because any deficits are born by the parents. 8. The Hispanic market is not to be neglected by TSIG.com. Look for the Hispanic My MusicCard site to be constructed. Think of the international implications. Also don't forget the Hispanic teleservices connection. 9. The sports area is alive. We have signed theLightening and the Ice Palace for all events. Esposito is still out there and could pop up with something else anytime. Kimberly Haber was also just hired as VP of sales & Marketing for the Products and Services Division. She has experience in the sports area also. 10. The Signature Group representation begins training in April as the ramp-up begins. We have already seen an increase in the deal by 50% to $30,000,000+/yr anticipated revenues. The margin should be about 25%. The Hispanic bank entry, when completed, will reinforce the order volume as there will be financing readily available for the callers requested functions. 11. Also remember when calculating earnings, just leave out Signature and add up the rest. Signature should pay for all the expenses of TSIG.com as it sits today. Signature is also very interested in the additional functions available at TSIG.com (online, internet, and web services). Talks apparently are already underway. They also love the My Card line. Remember the purchase of the Signature Group by GE Capitol, a subsidiary of GE? I wonder where that will take TSIG? 12. Keep your eyes on the Teleservices Division as it will not be a one client operation. More to come? Gordon and Guild would all agree they intend to grow this division. It is the steady backbone. 13. Remember Gordon's commitment to have no real advertising expenses. He will not fall into the trap that is killing the profit potentials of the competition. Recheck how TEMPO will be involved in that. Re-check the marketing agreement of Lifetime Learning. Now there is the portal agreement with Nettaxi also. Watch for further alliances in this marketing area. 14. The instructional manuals, “Perfect Pitch”, For the Lifetime Learning marketing account detailing the My MusicCard and the My PhotoCard are being printed and are scheduled to be sent to the over 100,000 school's principals, music dept heads, and heads of PTAs early April. 15. Look for partnering with a big internet software company possibly within a couple of months. I wonder who and what and how? It may be closer than we think. 16. There will be several additional hirings within the structural levels to further enhance the efficiency and growth of TSIG.com. Gordon indicated the addition of about two dozen employees in the business acquisition and development areas. About 10 in each of the sales and marketing areas. The hiring has begun that will greatly enhance the business procurement area. 17. Watch for continuing alliances between TSIG.com and other internet companies as the expansion of it's presence is made and felt. Success begats attention. Imagine the possibility of one click comparison between My MusicCard and the major CD sellers. Also imagine the implication of exclusivity of the exposure afforded with the partnering with Nettaxi. 18. There is a feeling, with the known revenue deals and with what is anticipated, that TSIG.com should attain profitability, earnings over expenses, in June, give or take a month. 19. John Hwang has established an office in Silicon Valley. This office, in addition to doing TSIG.com's continuing site developments, will offer next-generation ISP products and services to businesses on a subscription basis. These products and services will include e-commerce packages and industry vertical solutions. This office is anticipated to employ 15-20+ employees once business is established. Notice where the equipment came from to develop the My MusicCard site, Hmmmm. Recheck his known contacts and imagine. Discussions with potential clientele concerning web and online services are already taking place. Read the TSIG.com web site for better understandings. 20. Golin/Harris Int'l has been retained as the PR/IR firm of TSIG.com. The office has offices in both NY City and Silicon Valley out of 11 in the US and networking through more than 90 offices worldwide. That allows the representation of TSIG.com to analysts and close access for Hwang to write and get published articles in various trade magazines. The key may be to get third party coverage by way of media sources using charity and industry publications through print, news, and online. Golin/Harris stated TSIG.com has a unique business model and no discernable competition. I would suspect unknown unsuspected buying to take place as they get the word out about TSIG. 21..Go to the PRs and look at the companies Signature (GE Capitol), TEMPO, and the National Music Foundation are associated with. Those could be close contacts and recommendations for TSIG.com. 22. Go to the PRs and look at the newly hired officers of TSIG.com. Check their credentials. Look at their contacts. These individuals should be bringing a block of additional business before they are through. Why would this caliber of individuals join TSIG.com? 23. Gordon visualizes the expansion of TSIG.com might cause the necessity to relocate the first of the year. 24. The one burning desire of Gordon is to go to the NASDAQ. He wants to be there before next year. I think he can do it. 25. With the expansion expected to progress rapidly throughout the charitable industry, expect the local and national print and video media to pick up on TSIG.com. There is always an interest in reporting to the public about an organization that has an interest in supporting the children, disabled, and medical research arenas. This would greatly add to the exposure of TSIG.com to make the public aware of it's beneficial intents. 26. There is a strong desire to not use any more of the current financing arrangement. Other financing vehicles are being pursued. There could also be, in the future--maybe not so distant, a strategic investor. They also have the thought of buying out (all or part of) the current financing vehicle as soon as the ability makes itself known. As always, this is how I see TSIG.com developing. Draw your own conclusions. Bob