OPERATOR: Thank you. Once again, if you would like to ask pose a question, please press star then
the number one on your telephone keypad.
Thank you. Our next question is a follow-up coming from David Soetebier, of J.M. Dutton. Please
DAVID SOETEBIER: On the eCOST. Has eCOST added any manufacturers or lost any manufacturers this
year? And could you quantify whos the most important? I think Hewlett was running about 30
percent. And maybe what some of the others are doing.
MARK C. LAYTON: Yes, the HP relationships clearly our biggest relationship in eCOST.
Manufacturers do come and go, David, as the course of business. Sometimes lines within
manufacturers come and go. So I would Im not going to get into the game of, you know, being out
here disclosing or talking about every manufacturer relationship that we add or not. But we
havent had a huge focus this year on adding new manufacturers, except through the virtual
warehouse relationships that weve spoke of. The four new ones we added this quarter gave us
access to hundreds of new supplier lines that we would not have had in the past. So we are
definitely adding suppliers. And I think youll see an even greater focus on that in the future.
Recognize that, you know, HP is clearly important and our direct refurb relationships that we have
with a number of manufacturers are, you know, the key focal point that creates this differentiation
that Ive described to Adam out there. And then once we gain that sale, we can then sell add-on
products that relate to that initial product that allows us to boost margin and overall revenue on
a sale itself. So thats the business model that were trying to trying to execute.
DAVID SOETEBIER: Great. Thank you.
OPERATOR: Thank you. Our next question Im sorry, that person has removed themselves from the
queue. Once again, ladies and gentlemen, if you would like to pose a question, please press star
then the number one on your telephone keypads at this time.
And thats star then the number one on your telephone keypads if you would like to pose a question.
Thank you, gentlemen. There appear to be no further questions at this time.
MARK C. LAYTON: Just a Ill follow-up a little bit more on Adams question here and then you can
poll one more time in just a second. But there was a question about how were going to attract
more customers out there that (INAUDIBLE) added completely to. You know, the online part of the ad
business, we cut way back on the spending of that as I talked about in the in the numbers that we
released related to our ad spend on this year. The cost per clicks are going up significantly and
they went up again during the holiday period out there. I think thats a challenging point for all
Web commerce retailers who sell technology products that are commodity priced the way we are. I
would not be surprised to see some changes in the industry going forward in terms of how those
models work, because its quite difficult to today to put together a financial model that says, oh,
heres the way you ought to do it and thats going to make financial sense for people who are
selling products that have, you know, relative low gross margin characteristics to them like we
are. That has led us into looking at more of a blend between offline advertising and our online ad
spend. And, Adam, one of the other ways youre going to see us, I think youre going to see us get
more aggressive in terms of some traditional advertising techniques and viral (ph) advertising
techniques to try to drive an enhanced customer base and rely more on e-mail marketing than we
even than we have in the past. So just a little bit more flavor on your question earlier.
So, Eduardo, if youd poll one more time for questions.
OPERATOR: Thank you. Once again, ladies and gentlemen, if you would like to pose a question,
please press star then the number one on your touch-tone telephone keypads at this time.
Thank you. Our next question comes from Chris Cerniglia, of Ryan Beck. Please go ahead.
CHRIS CERNIGLIA, RYAN BECK: Hey, guys. Just do you feel the ownership of eCOST is going to heard
other BPO business opportunities?