The year's final chapter came to a close with a corporate kiss and forward steps for online companies.
Santa's down with One-Click ordering
It's not as though there was ever any doubt that online retailers would grow faster -- once again -- than their traditional bricks-and-mortar brethren. So when Amazon (NASDAQ:AMZN) made it official by announcing a healthy holiday shopping season capped by a record day with 2.8 million orders, I don't think anyone claimed to be surprised. It's as clear as the Web-wired screen before you, and the trend should continue through at least the next few years as the online migration continues.
It wasn't just Amazon breaking through new ground. Once Rule Breakers newsletter recommendation Overstock.com (NASDAQ:OSTK) announced that its busiest week was a week later than in 2003 -- with its record-breaking sales day occurring on a dot-com seasonally late Dec. 16 -- it was clear what was happening. Shoppers are becoming more familiar with online storefronts, and they are comfortable enough to place orders later in the season without worrying whether or not they will arrive on time. The fact that you don't have to fight for a parking spot in your own driveway, you can wear what you want and the grub tucked away in your kitchen probably trumps food court fare only cements the convenience. Just have a family member spritz you with some perfume while you click away if you truly miss the mall experience.
Larry plants a sloppy engagement kiss to kick off the new year
It was a contested courtship that took all of 18 months to consummate, but like a sappy romantic comedy it appears that Oracle (NASDAQ:ORCL) and PeopleSoft (NASDAQ:PSFT) will end it off with a kiss.
On Wednesday Oracle announced that it now had control of enough of the PeopleSoft shares, a whopping 75% of the outstanding stock, to seal the deal. For Oracle CEO Larry Ellison it is simply the cherry on top of a sweet year for his software empire. May the marriage last as long as the extended dating process -- without the drama. Then again, knowing Ellison's penchant for the notable, it wouldn't surprise me to see Ellison be the next billionaire businessman to find network executives begging for him to sign on for a reality television series.
Is AOL opening a can of Spam or opening a can on spam?
In an applause-worthy move, Time Warner (NYSE:TWX) announced that the battle against unsolicited junk mail is going well, with user spam complaints on AOL falling by 75% over the past year. While there may have been some cynically dubious oversights in the data the bottom line is that America Online is trying to improve its subscriber experience in a move to win back old and new users that have been defecting from the online service since its member head count peaked two years ago.
An efficient spam filter and legal persecution of the biggest purveyors of unwanted email marketing has clearly helped. Until the cleanup efforts kicked in I could swear that I was hearing "you've got junk mail" every time I logged on. Well done, AOL. But is it too little too late for the dial-up legend to grow again in the broadband age? It's still hard to tell whether AOL's signature Running Man mascot is either running away or running for help.
On a more somber note. . .
When a natural disaster has the death toll updated daily by the tens of thousands it's too grim to ignore, despite the immediate lack of market implications. So let's wrap up this weekend's reflection, one that is timely enough to serve as a bridge between 2004 and 2005, on a more serious note. If the catastrophic tsunami casualties have you feeling either grateful to be living on dry land or wondering whether you can help, there are several online resources for you to take an active part in the healing process.
Here's to a speedy rebuilding process -- and better world news -- come 2005.
Until next week, I remain,
Rick Aristotle Munarriz
Longtime Fool contributor Rick Munarriz probably won't be invited to the Oracle and PeopleSoft wedding, so he will simply mail his gift over. Anyone know where the companies have set up their registry? He does not own shares in any of the companies mentioned in this story. He is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early.
