Replies to post #41080 on SPOOZ Inc (SPZI)

[MuchCompensation]

I believe that was already covered jdre. Less and more valuable clients in the short term and more subscribership fees equals more money and less customer support requirements.

MC

[songbirdia]

I think that retail investors would be more interested in subscribing to ST when the program supports equity trading. The current version is for options, derivatives, futures and FOREX. While there is retail interest in these asset classes, I imagine most retail interest would be for trading stocks.

[ThSeeker]

jdre I think it is more about support effort than which makes most money first. But it is what it is. Phased launch - professional package first.

As for your comment "this is the same Paul who also thought it was a good move to talk about tips of icebergs and monumental news. I'll believe it when I see it."

It would not be the first time that the market could not understand the value of a company's news. It think the 141 deal was really big. And over time we will see very significant value in this deal. The market didn't see it that way. Paul and many of us here do.

[shinebox]

"Another thought: Even if it costs $750 for the pro trader versus $89 for the average retail trader....wouldn't you have a larger pool of retail traders? Yes you'd have to sell almost 8-1 but you'd have a larger market."

What's more important here is not the size of the market, but instead the success in the market. Regardless of what market they chose to go after, it doesn't matter if the product isn't good enough to be successful in the target market. If it proves to be a success to professionals, then logically success in the retail market should be a easier to attain. Let's see how things unfold in their launch to institutions and professionals.

[catani]

This may be, but they will find every bug it will have and will contribute to the development. They will need less support, just think of all the idiots on the boards who think they are great traders, they would call every few minutes to demand a helping hand, it wouldn´t be handable with the current stuff. Bugs btw are inevitable, with a professionel environment, you can work on them. Retailers will also most probably just give it back or call a lawyer. This is the main reason I also think they don´t have to pay this amount till it´s ready for the public. It´s nonetheless a very good move to launch it to them first.

[alliecorp]

Not necessarily...professional traders are more educated and will spend the money on a solid product, and you will also get faster word of mouth regarding STv2 trading software.

Retail will hesitate at first but if they hear about how well it's been accepted by the professionals...and then when it's launched to the retail, retail traders will have more confidence and be encouraged by STv2. You're talking about selling and launching to two different mind sets here.

And you may not like the term brilliant...but imo, this is a smart business move. I like the way Paul is managing the launch. Good solid approach!

[defireman]

The larger target market will also entail 8 times the amount of support required, and hiring customer support and training them might be expensive and time consuming. I think they might be trying to minimize the technical support requirements at launch time.