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Re: BRINKS HOME SECURITY MAY HAVE DIRECT TIES WITH MADOFF



"mleuck" wrote:
>
>> All they are doing is keeping rates high. Their overhead must be choking
>> them beyond belief. ADT doesn't need to advertise that much, or nor do they
>> resort to using scare tactics like Brinks does.
> Jim Rojas

I got one of those robotic calls today offeing a free security system.  The
system, so the call said, is worth "over $800" and it's "completely free!"
All they ask is that I help in their marketing by placing their sign on my
lawn.  The call instructed the vic... er, client to press 1 for more info.  I
wondered which alarm company was making the call so I pressed 1 and, after
about a 2-minute wait, learned it was none other than ADT.  The "operator"
said he was calling from Utah, but the phone number, 213-710-8112, is from
Compton, California.

> That is not the way it works, advertising is a drop in the bucket compared
> to incoming revenue...

That is an assumption on your part since you have no way to know what part of
Brinks' revenue is spent on advertising and on illegal or misleading telephone
calling campaigns like the one ADT is currently running.

> stopping advertising wouldn't necessarily give them the ability to reduce
> monitoring rates...

Stopping advertising would mean no new clients to replace attrition -- the end
of the company.  That would not qualify as a bad thing, but it's not going to
happen any time soon since they are certainly going to keep spending millions
on ad campaigns.

> You can hope all you want but they ARE a profitable company...

You assume that but it's not a certainty.  Brinks' corporate reports may be as
misleading as ADT's ads.

> with relatively low attrition...

You also assume that.  Reality may be very different from what you like to
assume.

> and now are independent with no debt...

That's another assumption.  I refer to the comment about corporate reports.

> That may or may not change with the new name but that remains to be seen.

Who cares, really?  Like ADT's residential division, Brinks has nothing to do
with security.  They can keep selling lick'n'stick crap until Jesus comes back
and it won't mean anything to companies that market real alarms.

> ADT on the other hand isn't bringing in enough new accounts to make up for
> attrition losses...

That's nice.



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