Replies to post #341 on China MediaExpress Holdings, Inc. (fka CCME)

[Drexion2004]

Yep, this type of synergy is often used to great advantage. CNYD is doing it right now between its TV channel / Tourism Segment / Train Ad segment. I would not be surprised if CCME goes in that direction.

CNYD is another great company in a 'similar' business. Check if out if you haven't seen it before.

-Fernando

[redman_2014]

gunnar,

o/t: Based on your comments I think you should go take a good look at China Yida (CNYD). They own tourist destinations, a t.v. station, exclusive rights to post ads on trains, and also 30 billboards. They are leveraging their advertising network to draw tourists to their destinations and have 50%+ net margins to show for it. Use geoinvesting.com for research.


Owning an advertising platform is a great advantage if you branch out. Ted Turner did this when he owned a large, highly profitable billboard company and then bought a small, unprofitable TV station. He just filled all of his excess capacity billboard space with ads for his own TV station, and Turner Broadcasting was born. The business model wouldn't have worked without the leverage of free - and effective - advertising


-Adam

[RyanW439]

So with this in mind, perhaps the acquisition we're all anticipating isn't an acquisition after all... It would take a decent amount of money to get something like this started, perhaps the growth will be organic but in a new venture? That would be a very significant addition to the business for sure. Free advertising to those that are already using the services of inter-city buses..just letting them know that they can book with ease.. That could be a gold mine.