Here's something unique to consider about Spindle and how Clark and team are tying all the pieces together to create multiple revenue streams. Currently they have three.
1) Payment processing
2) MeNet monthly subscription
3) Performance based coupon redemption
The key synergies are the ability to cross sell all of these services. It will probably be a bit harder to do with the large Yowza merchants, but I would expect they will soon be offering a combined monthly and performance package to address this combination of products.
3 Revenue streams, Clark knows he has hit a homerun.
"As of this writing, we are putting together the final touches on what will be a series of new product releases under the Yowza!! brand that we believe will be the foundation of a compelling mobile commerce offering for merchants and consumers, and one that we believe will create substantial value for our shareholders".
Not going to see these prices much longer.
Spindle reports on March 15. If Spindle continues with its explosive margin expansion we will be off to the races. Once the platform rolls out the Multiple revenue streams will feed off each other.
The small merchant strategy is fine. However, Spindle should really also try to hunt some big game. If they can convince a Target ( some of whose customers credit cards have been compromised) or a Cosco, etc...or just one big guy-That would be a complete game changer. And then, for SURE, we are well and truly off to the races.
It's an interesting story to be sure. They should about 1-1.2 mil revenue just based on their mobile payments and what like 6k merchants/300k users on their menetwork system. And now with Yowza they have another 95k merchants and 2 million users. So if the same processing rate translates, they should do around 5-7 mil in revenues in 2014 just based on the combined Yowza/Menetwork payment processing side; this excludes monthly fees that merchants pay the Yowza network to advertise coupons and the such which is gravy. I say 5-7 because I feel like they won't have a full year of combined Yowza/Menetwork and probably something along the lines of 6-9 months. Once they integrate fully and sign up more merchants/users, then I can see growth going up much faster. If they keep their employee count low, then this will do well. 50 million market cap is saying people are expecting something but it's not grossly overvalued either. I could see this stock trading between 25-75 mil market cap this year based on how thinly traded it is and what kind of news comes out. I'm hoping to get in on one of the big dips to 25-30 mil.
"We are navigating through what I believe to be a significant sea change," Schultz said on "Squawk on the Street." "We're going to be talking about this for quite some time. I would not want to be a traditional brick-and-mortar retailer that did not have mobile payments, that did not have social and digital media. Those companies are going to find themselves significantly challenged in 2014 and beyond."
Part of an interview with Howard Schultz CEO of Starbucks on CNBC, it's worth a listen.
Razieh skin pays only $50 a month ... they need to sign 10 of these guys a day to have an impact ... where is the momentum .. i don't see one and CEO seems an old out of touch .. having said that i bought some below $2 and see a move up to $4, but don't see a game changer you guys are implying ..
It is a joke for Razieh skin to make press .. i want to see 100s of these a week ... again where is the momo