Re: UKNM: Jungle Bailout?

[Steve Johnston]

Ahem...can we keep on the subject.


Jungle's 'Bailout' has nothing to do with the brand, it has to do with the

impossibility of shops trying to compete with shops if they are not offering

anything better. Jungle were stuffed from the minute they opened their door

because there is nothing better about what they offer that is actually

sustainable. Just look at the supply issues; who's trading at the better

margins? GUS or Jungle, DOH! (Not, I hasten to add, that I think GUS was

Jungle's competitor)


The only role of the brand here is was that it actually WAS worth something,

and was probably writ large on the balance sheet. You don't spend millions

(what was their launch strategy now: '�10 million pound giveaway') and it be

worthless, au contraire.


I bet the VCs bailed rather than go to the market with a software shop that

has crappy commercials (and no, not the marketing type, the financial type)

and a half-baked (as in incomplete) brand.


What do GUS get for �37 million? The same thing WHSmiths got 2 years ago

when they bought iBS. A few months acceleration of their own flailing

e-commerce strategy. I'd be interested to see if the principals stay on.


<disclaimer>Never bought nothing from Jungle - though have enjoyed my copy

of Kai's Power Goo enormously</disclaimer>


Steve.

----------------------------------------

stevejohnston [dot] co [dot] uk

t: +44 (0) 7050 6050 33

f: +44 (0) 8707 3455 33

----------------------------------------


----- Original Message -----

From: James Closs <

j [dot] clossbitbull [dot] com

>

To: <

uk-netmarketingchinwag [dot] com

>

Sent: Tuesday, September 05, 2000 12:47 PM

Subject: RE: UKNM: Jungle Bailout?



>Are people actually starting to realize that only products have value and

>not brands?



What absolute rubbish.


Coke

Pok�mon

Nike


The value of all these is in the brand, not the product, and there

are many more.



                               ==============


Where logging on guarantees copping off: http://www.wild5.com


    James Closs   /     t 0171 460 4078    / When the horse

        Director /     f 0171 460 4081    / dies, get off.

   bitBull Ltd  / http://www.bitBull.com /



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