May NAEB order - last call.

[DMcCunney]

Originally Posted by delphidb96

Calamity,

I don't think Bookeen *makes* the covers. I believe they have someone who specializes in leather work make them. And if that's the case, it could be that the supplier fell behind.

Derek

In that sense, Bookeen doesn't actually make anything, in terms of physical product. They design the reader and write custom firmware, purchase the various components that go into the reader from suppliers (like eInk screens from PVI), and contract with an asian manufacturer to actually assemble the readers they designed, which they market and sell under their own label.

As such, they have the same supply chain management issues as anyone else in the consumer electronics business -- making sure that all the pieces are in place, where they need to be and when required. Sometimes things slip because a supplier can't meet the schedule. Amazon has had similar problems keeping the Kindle in stock. You can't make finished devices if you can't get the parts.

I expect glitches like this, and don't take them personally when they occur. The best I hope for from a vendor is keeping me informed of progress, and telling me if supply chain issues will affect delivery dates.
______
Dennis

[Calamity]

It doesnt matter who makes those covers. The order was supposed to be sent out middle May if i remember correctly. To be unable to supply 60 covers in two months is unbelievable. They look like this:

A bunch of interns could have manufactured those in half that time.

[DMcCunney]

Originally Posted by Calamity

It doesnt matter who makes those covers.

It matters if they can't do it...

The order was supposed to be sent out middle May if i remember correctly. To be unable to supply 60 covers in two months is unbelievable. They look like this:
<...>

A bunch of interns could have manufactured those in half that time.

<blink>

Depends on how big the supplier is, and what other commitments they have. I'm not a leather worker, and can't comment on how long it should take or how complex it is, but I suspect it's not as simple as you may wish. If it were, the problem might not exist.
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Dennis

[Calamity]

Take a look at how many small gadgets have leather pouches and cases, calenders with leather covers, and so on. Leather is everywhere. It definitely does not take that amount of time to make those cases. Besides, since the specs for the cases are available, why not place a order at another company if the first one cant meet supply?

This is a bit like being unable to ship a laptop because the company is out of power cords.

[delphidb96]

Originally Posted by Calamity

Take a look at how many small gadgets have leather pouches and cases, calenders with leather covers, and so on. Leather is everywhere. It definitely does not take that amount of time to make those cases. Besides, since the specs for the cases are available, why not place a order at another company if the first one cant meet supply?

This is a bit like being unable to ship a laptop because the company is out of power cords.

Bullpatties! Big, warm, stinking bullpatties! First, softcover cases aren't something that can be "pulled from the shelves". They have to be custom designed. If the "new" manufacturer ships out softcovers that are 3mm too wide and 2mm too deep, the Cybooks could well fall out - breaking. So the new manufacturer has to design the cases, test for fit, get the design approved, finalize cutting patterns... All this takes time. More time than just waiting for the current cover manufacturer to finish working a batch into the schedule - and there's no doubt in my mind that the Bookeen softcovers are just one of many jobs being handled.

Derek

[Calamity]

Originally Posted by delphidb96

They have to be custom designed. If the "new" manufacturer ships out softcovers that are 3mm too wide and 2mm too deep, the Cybooks could well fall out - breaking. So the new manufacturer has to design the cases, test for fit, get the design approved, finalize cutting patterns... All this takes time.
Derek

You make this sound like rocket science. Covers have been made for Cybook before, the specs are readily available. The only thing that is different on the new covers is the color, the front cutout which is now simpler and possibly some side cutouts for buttons. The basic design is the same.

But anyway, I might be wrong, I might be overreacting. When I get the cybook I will probably forget about this anyway.

[delphidb96]

Originally Posted by Calamity

You make this sound like rocket science. Covers have been made for Cybook before, the specs are readily available. The only thing that is different on the new covers is the color, the front cutout which is now simpler and possibly some side cutouts for buttons. The basic design is the same.

But anyway, I might be wrong, I might be overreacting. When I get the cybook I will probably forget about this anyway.

If they're anything like M-Edge - the company, I'm willing to bet the manufacturer of the covers keeps all the cutting patterns to itself. Which means any *new* company will have to start over from scratch. That's just smart business sense as it keeps the commercial customer "loyal" to the softcover manufacturer. Don't know why you haven't figured that out. So for any "second-source" supplier to make the case, that supplier would have to "re-invent the wheel" so to speak. That takes time.

Or do you really believe Apple shares it's iPhone secrets with LG??? (Which is about what you're suggesting vis-a-vis the Cybook softcover.)

Derek

[Calamity]

Originally Posted by delphidb96

Or do you really believe Apple shares it's iPhone secrets with LG??? (Which is about what you're suggesting vis-a-vis the Cybook softcover.)

This straw man is ridiculous. All you need to figure out the cutting patterns is the old cover and a ruler.

Why are you defending Bookeen anyway? Im not attacking NAEB, I think you guys are doing a good job. To use the products from your example, do you think that LG or Apple would ship an order of 60 phones 2 months behind schedule because of covers?

[JSWolf]

Has NAEB yet made enough profit that they can order some Gen3s to have in stock even without a bulk order?

[HarryT]

I believe that NAEB are "non profit-making", Jon.

[tzutolin]

I placed my order 2 months back and have reordered once. And yes, it takes time but is definitely worth to wait.

The support of NAEB has been always good to me. I get instant response everytime I have questions.

BTW, it is good to hear that the second half shippment is coming soon.


Thanks & Regards,
David

[delphidb96]

Originally Posted by JSWolf

Has NAEB yet made enough profit that they can order some Gen3s to have in stock even without a bulk order?

Nope. (Comes with being 'non-profit'. An ideal I strenuously object to. )

Derek

[delphidb96]

Originally Posted by HarryT

I believe that NAEB are "non profit-making", Jon.

NAEB *is*, not *are*... NAEB is a corporation, which means that it is a separate legal entity from us corporate ossifers!

And I'd change that to 'profit-oriented' in a New York Minute if I could.

Derek

[pilotbob]

Originally Posted by delphidb96

Nope. (Comes with being 'non-profit'. An ideal I strenuously object to. )

Derek

Is it possible to restructure the price or ordering so that you aren't always ordering the full complement of orders from Bookeen? For example, find a way to get 50 orders ahead or something.... so you are selling from stock, and once half the stock is depleted place another order.

I think at this point you have made enough orders with Bookeen to get some terms with them. If they gave you net 30 or even maybe net 15 you would be able to keep some in stock... I think this would increase orders too... since most people in the "internet age" don't want to wait possibly up to a month for something that they order.

Also, just because your not for profit doesn't mean you can't sell for more than your costs to have some operating assets. Once your there it might be easier to get lines of credits, better merchant account deals, etc. Doesn't non-profit only mean that you roll 100% of the money back into the company?

BOb

[delphidb96]

PilotBob,

This needs to be answered in parts so...

Originally Posted by pilotbob

Is it possible to restructure the price or ordering so that you aren't always ordering the full complement of orders from Bookeen? For example, find a way to get 50 orders ahead or something.... so you are selling from stock, and once half the stock is depleted place another order.

We came into this *vastly* underfunded. We're not in a financial position to make such a 'block' purchase. (If we were, I'd opt for buying about 200 up-front and re-ordering whenever we got down to 50.) And restructuring the price we pay requires large orders - like 1,000 units at once. (We'd need to have about $800,000-$900,000 to do that. Don't have it so it ain't gonna happen.)

I think at this point you have made enough orders with Bookeen to get some terms with them. If they gave you net 30 or even maybe net 15 you would be able to keep some in stock... I think this would increase orders too... since most people in the "internet age" don't want to wait possibly up to a month for something that they order.

I wish! I'd kill my firstborn for Net15 at this point. Don't have it. Not likely to get it any time soon.

Also, just because your not for profit doesn't mean you can't sell for more than your costs to have some operating assets. Once your there it might be easier to get lines of credits, better merchant account deals, etc. Doesn't non-profit only mean that you roll 100% of the money back into the company?

BOb

You would think, wouldn't you? First, more than *which* costs? Units + shipping to US? Got it covered. Same plus S&H to customers? Got it covered. The latter plus all our expenses? Now *there's* a question for you. Remember, we have to compete with BooksOnBoard and their pricing. (And they're clearly capable of selling at a much tighter margin because they also sell ebooks - big margin in those which allows BOB to live with the tighter margins on the Cybooks, or at least that's what I'm assuming is happening.) Guess what? We can't raise our prices. And in the current economic situation, LoCs and other financing is just not realistic. So, there's no money to "roll-back". The only real option is to get a lower cost for our product. Life goes on.

Derek