Cyber Monday Records and Spreading the Word
Congratulations to all Groove participants who were spreading the word the last few weeks in preparation for Cyber Monday. While it may be a few days to a couple of weeks before we know the full impact, I think anecdotal evidence suggests that we got the word out in a big way. Numerous members reported that Bargain Match servers had slowed to a crawl mid morning on Monday, what we believe to be the impact of many many users accessing the service all at once. Additionally, it appears that consumers generally flocked to the internet to do their shopping and did so in record numbers:
The action in Inuvo’s stock Monday was nothing short of amazing. We believe that the stock should be trading more consistently at the levels it traded up to ($2+) and remain confident it eventually will as investors begin to better understand the Inuvo growth story. It is not the often that you see a stock move more than 50% higher in a day though and we believe that a number of short term momentum traders may have piled in when the stock began moving up so rapidly. The “fast money” crowd often exit as quickly as they enter and it appears that may have played some role in the stock giving back so much of the gain since then. Regardless, we believe that a number of new investor/consumers were introduced to the Inuvo story beyond the Groove’s word of mouth efforts as a result of the stock’s rapid ascent and this will only add to the “free” virally generated incremental revenue. Additionally, Inuvo is now on the radar screen of many new potential investors who may not be willing to buy into a stock that moved up 60% in an hour, but will jump at the chance to build a position in this emerging growth story in the range where it has settled.
One more thing, all Groove participants would do well to remember that this is a marathon not a sprint and the GrooveVC mantra has always been quite clear – “GrooveVC is about discipline, focused consumption and investing, not trading. The most significant impact of our involvement will likely be manifested over a period of months rather than days and we hope to have a positive impact on the stock price in a similar time frame.” Keep doing what you do – use the Appbar, use Bargain Match and tell your friends. November should be a big month for Inuvo, Bargain Match will undoubtedly break every single day, weekly and monthly record in November and the benefit of all of the “free” incremental revenue impacts margins and eventually is reflected in Inuvo’s trading price. Inuvo’s stock is cheap at current levels, again making it a good time to buy the stock, use the products/services and spread the word.
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