RE: UKNM: retail conflicts

[Ken Cowley]

Depends on industry structure. In general add-ons and service carry higher

margins than the base good (an extreme being video games for example).


So a retailer might be happy to see a manufacturer sell on-line if he

believed that


1) More of that brand might be sold

2) The punter would end up at their place for an add-on or annual service




-----Original Message-----

From:

ownerchinwag [dot] com

 [

ownerchinwag [dot] com]On">mailto:ownerchinwag [dot] com]On

 Behalf Of Tim Moore

Sent: 20 November 2000 16:32

To:

uknmchinwag [dot] com

Subject: RE: UKNM: retail conflicts



Don't think I explained very well.  Allow me to go further.


If, for example, Dyson, were to try to sell Vacuum cleaners on their site at

a lower price than the retailers who stocked their products, then, I'm

pretty sure that they would have a major issue with the retailers.


Thus is Dyson wanted to monetise thier web site, the problem is, how do they

do it.


In Dyson's case, they offer aftersales service.  I guess the idea here is

that they are reducing costs by offering this over the net.


But my question was, apart from the above example,  has anyone seen any

clever examples of how manufacturers are monetising their sites with out

antagonising retailers?


Tim


-----Original Message-----

From: Alex Chapman [

alexbriffa [dot] com (mailto:alexbriffa [dot] com)

]

Sent: 20 November 2000 14:23

To:

'uk-netmarketingchinwag [dot] com

'

Subject: RE: UKNM: retail conflicts



Consumer retail brands rely onthe goodwill of consumers


retailers like wise rely on the goodwill of consumers


so there isn't necessarily a conflict


there is however an increase in exposure and increase in choice


This benefits everyone


Ahhhh utopia.



;-)



Alex Chapman

BRIFFA

Business Design Centre

Islington

London

N1 0QH


[Sam says: msg chopped]



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