$5 by Friday is likely IMO. Thats not really hard to predict. The question is where BIG will be in 1-2 months, 6mths, 12mth. After reading their hotcopper partnership announcement in more detail, I think there is a lot of information in there that talks about their future plans. My last post talking about the idea of partnering with other established businesses with large customer bases, such as expedia for travel etc is not a new idea for BIG. Seems like they are already on to this idea. After reading the Hotcopper announcement again it looks like this is one of their growth strategies. Looks like they will be creating divisions for hospitality, retail, corporate, health beauty, etc, and partnering with businesses established in that space. Makes a lot of sense, as building the customers yourself would take way too long. The opportunity to expand into so many sectors is endless. Practicially any industry could benefit from video. Travel/hotels/airlines, Carsales, Realestate, retail, restaurants, night life, games/activities, corporate, personal services eg cleaning, labour work, removalists, the list could keep going on. If they can growth their network of staff worldwide, with first mover advantage and scale, it is possible to develop an economic moat. Another business coming into this sector would need to build relationships with video crew and staff all around the world to compete with BIG, and this would take time. It looks to me like BIG have a fairly good strategic play here. Personally Im not yet completely sold on the whole pillar 3 idea, as it will take time to build a customer base, and I dont think it would be easy to make the kind of money we are making from pillar 1 from an app. But my confidence in the management continues to grow, and they must see something in pillar 3 to continue developing it so aggressively. So must be something good!
BIG Price at posting:
$4.58 Sentiment: Buy Disclosure: Held
