Vegas ERA Show. Like Shooting Fish in a Barrel?
I had the chance to speak to ZVTK CEO Adam Engel this afternoon from the ERA convention in Las Vegas, where the company has publicly stated its intent to generate 500,000 unit orders and conduct a grueling schedule of sales meetings. Without divulging any non-public info, folks, things appear to be progressing nicely. From what he tells me, ZVTK is making good on their promise to conduct as many meetings as possible, many of them with massive international potential.
Mr. Engel has been keeping me in the loop in regards to what has been transpiring at the show and quite frankly, I've been impressed. All in all, I'd expect to hear something out of him soon in regards to how well things went in Vegas for ZVTK.
Although Vegas is surely "sin city" and a place to have a great time, the ERA convention is also one of the best places for a company like ZVTK to meet, greet, and present its product to the more than 3,000 electronic retailing executives from around the world in attendance.
Vegas ERA Show
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Today's News: Click 2 Buy Coming Soon!
According to today's press release, ZVTK has procured a merchant account which will allow the company to accept and process credit card transactions through its corporate website, www.zevo-tek.com. As I've stated in recent editions, adding click-to-buy functionality to the site is absolutely essential in order for ZVTK to grow efficiently going forward.
In all honesty, this should have been done long ago and most likely would have if cash flow wasn't an issue. It's an absolute no-brainer. Think about it, sales at big name retailers such as CVS and Walgreens are great. So are relationships with online retailers like the Amazon.coms of the world as well as International distributors. However, you have to pay to play in these types of relationships.
Simply put, partners such as those mentioned above don't sell product for companies like ZVTK out of the kindness of their hearts. They demand a piece of the pie (sale), which takes away from ZVTK's margin. Surely, these relationships work wonders for the company's revenues and ability to gain global brand recognition, but direct-to-consumer sales are what feeds the bottom line.
According to the release today, management is completely aware of this and is taking the steps necessary to begin selling its landmark product via zevo-tek.com, the merchant account being step #1. Next comes the establishment of a fulfillment center and inbound call center operations and then, as logic would dictate, the hiring of a marketing firm to get the ZVTK infomercial on the air.
Where's the Infomercial?
The company announced back in July that the advertising spot was just about ready for production and I believe that it is now. Although sales have been surprisingly decent thus far, I can't help but think the numbers at Walgreens and the test at CVS could have been better if the IONIC BULB had a little "push" from a television advertising spot that sent consumers into the stores in search of the product. Placement with these retailers is impressive for such a new product and company, but when was the last time you went to either establishment in search of a light bulb. Point taken?
Moreover, now that management is taking the steps necessary to take orders through its site and also working hard at the ERA show to foster new sales opportunities, I'm guessing that the spot will be hitting the air sometime in the relatively near future. I wouldn't think that e-tailers from Europe, Asia, or wherever else would be too keen on purchasing a product with no push behind it. That's just my opinion.
Infomercials Big Time for Boomers
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With the stock price moving in an upward direction and management solidifying future sales and improving the bottom line, ZVTK is showing a great deal of promise for the Fall season.
We'll be keeping close watch on the movement of the stock over the next few days and whether or not the stock can manage to break through $0.12. A clean break through the 12 cent range should open the door to 15 cents and potentially $0.25. We'll also be watching to see if the 500K unit sales objective is achieved. That's all for now on ZVTK. Check the OutcastTrader Blog for updated coverage on the company.
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