Steven Zale/Zalemark cannot market Crayola because of-the following:
The branding concept takes:
MONEY; consumers are well aware of the Crayola name. But the association is with kids crayons not jewelry. Advertising to the consumer is not cheap. To change a brands direction to jewelry will cost a few million dollars in promotional funding. Zalemark doesn't have the funds.
DESIGN; Steven Zale, for years, has had no products selling in the stores he listed where he says he is an authorized vendor. Just more Zalemark B.S. Zalemark is NOT a current vendor to ANY of the stores listed. His designs are not current or compelling enough to get a major department store or jewelry chain to make a purchase.
NO INFRASTRUCTURE; to sell the "big boys" you need sophisticated computer systems in place. You need to be EDI compliant with a number of different major retailers. Incoming orders need to be confirmed via electronic data transfers. ASN's (advanced shipping notices) must be transferred as well, along with invoices, etc. etc. Zalemark doesn't have the equipment or people to do this.
SALES; this is the big one. Without sales (and there hasn't been any for years) there is no fuel to keep this company going. No sales, no profits...no nothing.
It has been the Steven Zale B.S. shuffle...excuses and delays over and over again. But really, the truth of the matter is there was no compelling reason for a buyer to purchase Crayola jewelry. The department store consumer (like a Macy's) is very different from a jewelry store (Kay's or Helzberg) customer. If the merchandise was relevant to those stores, then buyers from these prestigious retailers would have placed test orders from their selections at the Las Vegas jewelry show in early June. But they didn't like the product...hence, no test orders. But Steven Zale didn't tell the investors that. The third quarter launch never happened. There was never an announcement from Zalemark...only the "desperate longs" that made excuses on this board trying to get the PPS to rise.
And every month when their predictions of the launch failed they postponed the launch date. First to October, then for sure in November and then absolutely in time for Christmas. And when all of that failed to yield any results the launch was supposed to be postponed to January. And now they are saying Crayola will be "testing" in time for Valentines Day. It won't be in a major department store or jewelry chain...that's for sure. Reasons for this were stated in a previous post.
Possibly Zalemark can place some goods in a few small independents, but again that won't give them the serious sales revenue they have to have to keep afloat.
All the posts regarding "the audit" or the Kodiak financing won't happen. Steven Zale is spending money to hype his stock when he should have spent the dollars on design, sales and marketing.
And that video was pathetic. Begging for pity. Finally admitting he spent three years in prison for drug dealing. But he try's to diffuse his involvement. He did the same with his arrest on the embezzlement charges. It's always someone else that led him astray. Kinda like Gideon and Honest John who wisked Pinocchio away to Strombolies Caravan.
And Steven Zale and Mr. Stromboli have a lot in common; deceitful, greedy and wanting fast easy money at someone else's expense.
Millions and millions of investor's hard dollars and equity have been "urinated" away. All the naive followers of the Pied Piper who have invested sweat equity will never get any compensation. I really don't feel sorry for them as greed overcame morality.
And still no announcement from Zalemark regarding the JTV $4,000,000 lawsuit.
And again, why did they file to cease doing business in California? The only location where they work out of is California. Why so silent on that.
Too many questions and no answers. Always excuses and delays.
Bankruptcy is eminent.
