SEC Filings Section 16 Filings Only
 
PFSWEB INC filed this 8-K on 03/31/2006.
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this doesn’t mean that we won’t do things outside those segments, but our marketing efforts are going to be more targeted there with an eye towards improving our marketing effectiveness and driving a larger proposal pipeline and more frequency in client wins for 2006.
We continue to maintain a new business pipeline that today includes outstanding proposals totaling approximately $25 million in annual service fees on a scale that’s probably in the middle of the range that we’ve seen over the last couple of years in terms of proposal size — (INAUDIBLE) proposal pipeline size. We’re happy to have started off 2006 on a better foot in the business area with the addition of an agreement with an undisclosed Web-based customer to provide call center services including e-mail and phone support. As is true with many of our customers, due to contractual obligations and other considerations we are not at liberty to announce any further information about this agreement. But I can tell you that the win is in line with our strategy to better leveraging our expertise in the BPO area and in the Web commerce arena where we believe our infrastructure and skill-set drive a really clear and strong return on investment message for our customers.
The services model remains a critical element to our overall business strategy. As we evaluate our business strategically, it’s our belief that the primary value elements lay in our world-class operational, customer management, and Web technology infrastructure that we possess. We believe these capabilities have scale capacity and can be leveraged in many different ways. While the services business continues to provide us an outstanding market to deploy these capabilities with attractive financial rewards, we did recognize during 2005 a strategic need to seek additional deployment opportunities that can help us overcome the unpredictable peaks and value growth trends, as I’ve described, within our service business and for it to become a catalyst to unlocking the true value we confidently believe lies in these world-class capabilities that we’ve developed.
So with this as a strategic backdrop we pursued and recently completed a merger transaction with eCOST.com. Now, I’ll move along now to give you a little bit of background on that and how we’re doing on the integration efforts. As background, eCOST is a young, multi-category Web commerce retailers of more than 100,000 high-quality new close-out, and refurbished products, primarily brand-name technology and consumer electronics products. eCOST.com offers products for approximately — from approximately 1,500 manufacturers. And you’ll know all these names, but Apple, Canon, HP, Nikon, Sony, Toshiba, and obviously many more. Its revenue is generated from a strong Web presence at eCOST.com where sophisticated online and direct marketing capabilities currently serve a total customer base of more than 1.3 million business and individual consumers.
Before I provide some specific updates on the integration activities, I feel it important to remind everyone it’s only been eight weeks since the close of the merger. Eight weeks. The eCOST integration project is a major turnaround event, and any results will not materialize overnight. We have a dedicated and significant group of project management technology, operational and financial professionals from PFSweb who are working feverishly both in Torrence (ph) and here in Plano on this integration project. Along the way we continue to uncover numerous opportunities for improvement across the spectrum of cCOST’s operation. There is much work to do in order to drive the improvement in technology functionality, customer service, revenue

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