Stewart, still waiting for your Product. 4 YEARS now.
Im not selling any of my shares, but sitting here shaking my head in disbelief that is has been 4 years and still waiting for the Capstone product (Smart Mirror) discussed during this conference call. Thats all.
November 16, 2017 CAPC Q3 Transcript:
Anthony Marchese:
Now, just briefly, what gives you—I mean, you seem very enthusiastic about this new product
introduction. What gives you—obviously you're not going to be able to share a lot, but what gives you the confidence that you seem to have that this is in fact going to be a significant product for the Company?
Stewart Wallach:
All right. Let me maybe—that's a fair question. If you've been around to watch the Company and watched our history, you've probably picked up on some of this, but let me share this with you. My business background has been one that is not based on assumptions. It's not based on we've got a hunch we're going to sell a bunch. When we decide to look into new businesses, we typically try to find a business that's nichey (phon) in its initial nature, but has the opportunity to expand into mainstream reach. That being said, we have been working on this category for a little bit over a year now, and part of that process is research. That's research of the market, research of the players that could be in the market, research of the consumer buyers' profile, then, of course, research relative to why we can bring that proposition to retail successfully.
My enthusiasm is based on the data and the extrapolation of that data and the entire strategy that has been put together as a result of that data. The potential is very large. I am relatively conservative in my approach to the market and talking about the potentials, but what I can say is this, that it's a more lifestyle product and it's a more relevant product to today's market and future market than we're currently in, and it's a market that will enable us to further differentiate the Company in that it is more technology-based. We are talking about a product that has a little bit higher level of product development behind it and it isn't something that just anybody can do.
I have an experience with software development and a background. I had a company that we developed security software applications, so I have a pretty good understanding of how to manage that type of a project, and we are well on our way.
I was actually hoping to be able to make the announcement, frankly, around this time of the year. I hate to do this to you, but I'm looking at the product as we're sitting here. It's very exciting. There's still a few areas to—I would say, minor areas to cover, not hurdles, just a couple of things we need to flesh out before we submit it for robust testing. Robust testing consists of doing to it what a consumer would do to it because in today's world, and particularly impacted by e-commerce, consumer return rates are really excessive. This has been predominantly created by Amazon and the ease in which they want people to be able to participate online, so it's easy to ship, but it's also easy to return. It's very important, particularly a product that's going to be considerably more expensive than what we currently sell, that the product meets or exceeds any expectation of a consumer, but more importantly, can endure the type of consumer abuse that most products endure, intentionally or otherwise. A lot of products, particularly products that have software involved in their operation, are abused only from the standpoint of error, mistake, how to use it. We have to make sure we dumb it down so that it's easy to use and follows formats that you would
typically see in the world today of smartphones and widget applications and things of that nature.
