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surferjoe

09/15/05 7:49 PM

#6768 RE: Maddog #6767

Interesting, I am assuming that he meant that they have to charge $5 -$7.50 because they have to pay for the services themselves and therefore have to charge back the customer. And in NWAU/NAUG case we do not have to pay for these services so we don't have to push this charge back to the customer?
I am trying to think who would order 5,10 or 15 K blocks? The only thing that comes to mind is gov't agencies, or very large transportation fleets (UPS,Fedex, etc.) or a family of ten thousand kids?? Anyway if they get orders of that size and make $30 bucks on the each device sold (10%) and $20 a year for a 5k order you are looking at $250K less infrastructure, overhead for the backend network.
Also what business needs to reorder monthly, it seems to me the real money is in the contracts but at $20 a year not sure how you make lots of cash.
Very interesting and I am excited to see the results. This may be at it's infancy stage and there may be applications in the future that surface or something I am not thinking of, haven't put much thought into it yet.

Well good volume again today, would love to see it close out tomorrow with similar volume and price $5 - $5.50

Moe
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preship 1

09/15/05 8:12 PM

#6769 RE: Maddog #6767

This is just the beginning my dear folks
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twoggle

09/15/05 11:05 PM

#6781 RE: Maddog #6767

> Looks good on my end...thoughts?

I like their business model. The key to getting the large orders is that they provide everything for the retailer or distributer at a low cost -- the hardware and the backend network. The retailer doesn't have to worry about finding or paying charges for a backend service provider. They don't have to worry about ability to order in very large quantity (or to support those users). The retailer can get everything they need from NAUG and stick to what they do best: order, distribute, unpack, markup, advertise, sell, and then forget about the customer. :-)

I'm not sure how many competitors there are selling the GPS Personal Locator that can provide the services that NAUG provides at the price. Probably not many ... at the moment.

T