change on a regular basis due to product availability and
customer demand, we continually offer a wide variety of merchandise.
Computer hardware and software. Our computer hardware and software product category contains
subcategories for computer systems, computer hardware and computer software. In these subcategories
customers can find products such as desktop, notebook and handheld computers; servers; personal
digital assistants; various hardware including CD and DVD drives and burners, flat screen monitors,
color laser printers, scanners and networking equipment and business, education and entertainment
Home electronics. Our home electronics product category contains subcategories for camcorders,
DVD players, audio systems, speakers, big screen and plasma televisions, VCR and digital video
recorders, portables and accessories. Within these subcategories, customers can find products such
as video cameras in popular formats like DVD players; surround sound audio systems; subwoofers,
center channel and bookshelf speakers; LCD, plasma and
projection screen televisions; digital video recorders that pause, rewind and replay live
television; digital music players and a variety of accessories such as cables, remote controls and
Digital imaging. Our digital imaging product category contains products including digital
still cameras; video cameras and camcorders in MiniDV format; drawing tablets for digital photo
editing; digital photo and image editing software and photo printers.
Watches and jewelry. Our watches and jewelry product category offers customers the ability to
shop in subcategories dedicated to watches, jewelry and pens. Within these subcategories, customers
can find brand name mens and womens watches; gold, silver, platinum and diamond jewelry such as
rings, necklaces, pendants, earrings and bracelets and fountain and ballpoint pens.
Housewares. Our housewares product category is dedicated to household appliances, kitchenware,
personal care appliances, home decor and luggage. Within this portion of our website consumers can
find products such as traditional household appliances including blenders, toasters and vacuum
cleaners; professional quality cookware and gourmet kitchen appliances such as coffee grinders.
DVD movies. Our DVD movies product category offers consumers an array of new release and
classic DVDs in a wide range of genres, including action and adventure; animated; comedy;
documentary; drama; family; horror; music video and concerts; musicals and performing arts; mystery
and suspense; sci-fi and fantasy; sports and fitness and television.
Video games. Our video game product category includes hardware and software products based on
popular gaming platforms. Within subcategories dedicated to Sony PlayStation, Microsoft Xbox,
Nintendo GameCube and PC gaming, customers can find hardware products and accessories, as well as
action and adventure, role playing, simulation, sports, strategy and other types of video games.
Cellular/Wireless. Within our cellular/wireless category, we offer customers select cellular
phones and service and a variety of cellular/wireless accessories including batteries, headsets,
vehicle adaptors and battery chargers. For the cellular phones and service portion of this
category, we have an arrangement with a third party cellular service provider under which we
receive commissions for service plans and phones purchased by linking through our eCOST.com
We continually evaluate expanding into additional categories in order to attract new customers
and offer a broader variety of merchandise to our existing customers. Categories currently under
consideration include books, music, sporting goods/health and fitness and luggage. We also plan to
increase our depth in our current categories by adding new subcategories, brands and products and
continuing to develop and increase the number of affiliate categories.
Sales and Marketing
We currently focus our advertising efforts on efficient and effective marketing campaigns
aimed at acquiring new customers, encouraging repeat purchases and establishing the eCOST.com
brand. Our online prospecting