Re: Airshows start today !...DABOSS...Gil
in response to
by
posted on
Sep 04, 2007 06:24AM
It is interesting that EDIG has decided to spend the money on an exhibit. I guess it is possible they are "sharing" a portion of a booth with MEZZO or another third party distributor. I my biz, we have small goods vendors and allow them to "rent" a portion of our larger space since we share the same customer base. It's a win-win deal for the vendor, the retailer, and us. Maybe EDIG has found a way to co-op their relationships. However, my guess -- just a WAG -- is they are NOT exhibiting in the Wencor booth. lol (Don't you know Brent Wood is pissy every time he sees the EDIG logo)
IMO, these aircraft interior trade events are VERY important. They can make EDIG a profitable company should Willy and gang be successful. We can't predict the unit sales today, but even a few small deals or one moderate size (1500+ units) would be a big boost to the bottom line.
Like our new contributor, palto, and LL have stated, the IP licenses can take a long time to put cash in the bank. I'm confident DM will do their job well and EDIG will see some level of return -- just not soon. eVU is our cash cow for the moment and these trade events will give us a clue about the near term success rate. EDIG doesn't need sales of 10,000 units to break even, IMO. The breakeven number is less and we don't know the volume of service agreements DaBoss pointed out...nor do we know the margins built into those service agreements. Traditionally, service deals carry a much higher margin rate.
Time will tell....
John
OT Gil, those Bears looked good, really good at times. Much better than last year and they certainly have a chance to beat USC in the improved PAC 10 race. Last year I bet, uh...make that thought, USC was better. I've changed my mind as long as those scat backs stay healthy. I trust you enjoyed the game!