"BFG Buys Commerce Website Thus Customer Base as Well" Really, that is what you think BFG's purchase of Commerce's domain name & website means? BFG now owns Commerce's former "Customer Base"? Not!!!"
|Would you pay more for access to FBs "customers" or a site|
of buggy whip manufacturers or start from scratch?
Since this is a website with a large customer base it is akin to buying a catalog company and with it comes the customer base/mailing list/etc. This is a common practice in media to buy an existing asset with a large customer/subscriber base.
For instance someone buying Facebook would pay mostly for the users not the site itself. You Tube would be another example. Huge user base that would cost the buyer dearly. Sprint on the other hand would not be a good buy because the user base has evaporated. Would you want to buy a cellular network with dwindling subscribers? A small online garden store with small customer base is not a good buy. This is a brilliant move by BFG. BFG now not only can service existing customers without having them to switch to a new website and learn how to navigate a new system Commerce customers anywhere can log in and buy. This allows BFG an amazing opportunity as they have in a sense laid track into markets not currently served by having the infrastructure in place first. It does not cost BFG anything if I in New York do not purchase from them online. If they start sending a sales force here guess what the web site makes it much easier.
If you have tried purchasing online from lawn and garden distributors you know as well as I do most of their sites suck and are not easy to buy from. The searches take too long and often display only a small amount of results. Even True Value's Membersonline, which is the best I have used, has some drawbacks.
By purchasing the website and keeping it functional by allowing existing customers to still log in and buy is the same as "buying" the customer base/subscribers.
So to sum up yes BFG did buy an asset called a customer base. All businesses are priced to sell based on more than the real estate. Retail businesses are priced on sales and good will. These two items far outweigh in many instances the real estate, inventory and web site.
Did BFG buy your store no of course not but if you bought from Commerce online yes they did buy you as part of the customer base.
Garden advice you can dig!