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Folks-
Tom Hicks is the VP, GM for Discovery Channel Online
http://www.discovery.com/. Tom is a well known and
respected in our business. Tom also led the recent
redesign of the Discovery Online site.
Tom sends in the following comments for the recent
Ad/Store rates post:
-----Original Message-----
From: Thomas Hicks
Sent: Monday, June 08, 1998 3:45 PM
To: marnowitz@morino.org
Subject: AM: Ad/Store rates
Amy:
In a way you've answered your own question. Why not start out by
offering "space" in your store for a monthly fee plus a commission on sales
(perhaps lower than the 12% offered). Think about structuring your monthly
fee in such a way that the first $500 in commissions goes back to the
vendor, then anything beyond that is paid in commission to you. As your
audience grows, you'll be able to determine -- and then price -- what your
fees for advertising would be, but in the meantime you'll be extracting
value from the work you've done and build a win-win relationship with your
vendors. Good luck. Let me know how it works out.
Tom Hicks
VP, GM Discovery Channel Online
> 1. One vendor I have asked to be in the store is willing to give me all their
> graphics and goodies for the storefront and in return, VA will get 12% of each
> sale. Since the site is new (well, not even live yet) we will also get the
> extra benefit of having their good name on our site. Intially, if vendors
> have the material to give VA then I see only asking for a small set up charge
> for time. But, if VA has to do all the set up and design for another
> vendor, then I will charge and have a fee for that based on design &
> programming
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