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 China Marketing Media (OTC BB:CMKM)

Thursday, October 28, 2010

GeoTeam® September 2010 Rodman & Renshaw notes:

China Marketing Media (OTC BB:CMKM)

  • Professional magazine specifically targeted to sales and marketing professionals. Was publishing one edition per month, but now doing three.
  • Demand for print media still exist in professional magazines.
  • Advertising in magazines drives traffic to site for online sales of electronics, cosmetics and apparel. Will be adding additional product lines.
  • Also advertises via credit card statements through agreements with banks credit card statements.
  • Margins on online sales thin, but CMKM makes money on magazine advertising. Gross margin for online sales are 10 to 13%, advertising margin 70%.
  • CFO has only been with company for two months.