Walter Karl Inc.

Last month's Internet Retailer Conference & Exhibition (IRCE) in Chicago had all the elements of a healthy trade show -- attendance was at record levels with over 10,000 paid attendees; the exhibit floor was packed with booths and customers; and the sessions were well attended. It seemed like everyone in the industry was at the show.

Access Technology Solutions Direct Selling Services 34 Randall Decker (801) 420-9225 www.accessts.com Associated Global Systems Fulfillment 62 Sales (516) 627-8910 www.agsystems.com B&W Press Printer/Specialty Mailer 23 Paul Beegan (978) 352-6100 www.bwpress.com Belardi/Ostroy ALC, LLC Lists 22, 39, 60 Andrew Ostroy (212) 924-1300 www.belardiostroy.com BowTie Inc. Lists 6 Kristina Grubb (949) 855-8822 x3420 www.bowtielists.com Brown Printing Printer 41 Jill Tobin (212) 782-7857 www.bpc.com Catalogs America Printing BC Dan Sayin (727) 864-2000 www.catalogsamerica.com Catalyst Direct Marketing Lists 32, 65, 67 Fred Litzky (201) 405-1414 www.catalystdm.com Chilcutt Direct Marketing Lists 52 Jane McCoy (405) 478-7245 www.cdmlist.com Commerce Register Service Bureau 48 Bob Schweighardt (201) 445-3000 www.comreginc.com Creative Automation Direct Marketing 55 Bob Rajan (800) 773-1588 www.cauto.com Cyber City Teleservices Telemarketing Services IBC Erv Magram (201) 487-1616 www.cctll.com Datamann Software 24 Kathy Reagan (802) 295-6600 www.datamann.com Direct Tech Inventory Management 21 Jack Mahaffey (402) 895-2100 www.direct-tech.com DM Transportation Group Transportation Management 56 Bill Wilson (717) 258-0611 www.dmtrans.com DoubleClick Performics Search/Affiliate Marketing 35 Robin Simkins (312) 739-0682 www.performics.com Dydacomp Development Software 8 Rob Coon (973) 237-9419 www.dydacomp.com Edith Roman Associates Lists 3 Kevin Collopy (845) 731-2684 www.edithroman.com Endicia Mailing Software 57 Sales Department (800) 576-3279 www.endicia.com Foster Manufacturing Production Equipment 6 Ted Borowsky (800) 523-4855 www.fostermfg.com Iverson Language Associates Translation

The news of infoUSA’s acquisition of Direct Media sent the combined reaction of total expectation and shock waves throughout the catalog/multichannel list industry. My own opinion is that this deal was to be expected considering the path that infoUSA has been going in recent years. Direct Media joins the infoUSA stable that contains Millard Group (including its most recent pick-up, Mokrynskidirect), Edith Roman, Rubin Response, Walter Karl, JAMI Marketing Services and American Church Lists. Then again, it’s a little surprising considering that Direct Media was sold to Acxiom nearly 12 years ago, only for Direct Media’s management team to buy the company back four

Sur La Table 163,680 56,295 191 $85 cookware Mokrynskidirect 12/06 9/05 Dog.com 139,829 51,031 174 $115 pet supplies List Locators 9/06 5/05 & Managers Knit Picks 73,502 27,347 169 $60 crafts Walter Karl 6/06 6/05 Cutter & Buck 70,938 30,555 132 $147 men’s apparel Mokrynskidirect 1/07 1/06 Kinsman Co. 27,090 12,695 113 $83 gardening supplies D-J Associates 12/06 9/05 Fannie May Confections 72,173 34,794 107 $36 candy, chocolates Millard Group 11/06 10/05 Leichtung Workshops 20,312 9,958 104 $52 woodworking tools Names & 9/06 7/05 Addresses Orion Telescopes 33,445 16,849 99 $175 telescopes Millard Group and Binoculars 7/06 7/05 Time for Me 141,411 71,958 97 $95 women’s apparel Mokrynskidirect 1/07 10/05 Siegel Display Products 33,569 17,474 92 $300 promotional display products Direct Media 10/06 10/05 Smith & Hawken 140,722 74,971 88 $125 gardening supplies Belardi/Ostroy ALC 11/06 10/05 Redding Medical 13,689 7,642 79 $95 nursing supplies Fasano and 12/06 8/05 Associates Penn Herb Co. Ltd. 26,459 14,837 78 $54 natural remedies Walter Karl 4/06 5/05 MidWest Edwin Watts Golf 328,416 185,448 77 $250 golf equipment Venture Direct 8/06 5/05 Worldwide Staples 3,843,101 2,183,681 76 $250 office products Direct Media 12/06 11/05 Sporty’s Men’s Collection 12,926 7,368 75.4 N/A men’s recreational products Millard Group 1/07 5/05 New England Business 1,114,626 636,766 75 $120 office products MeritDirect Service (NEBS) 12/06 9/05

The latest wave of consolidation in the catalog/multichannel business is quite different than consolidations past. That's always easy for us media folk to say, but if you're not among those doing the buying or selling, here's why this matters to you. The recent flurry of acquisitions has been driven by the need to secure large economies of scale. And like most things in our lives, all signs lead to one key factor: oil. Skyrocketing fuel costs are driving up freight costs. Many smaller and medium-sized catalogers can't — or soon won't be able to — afford rising shipping rates and

By Matt Griffin Exclusive product availability, proprietary technology and an energetic response to customer feedback provide Smarthome Direct with the keys to successful growth. The concept of home automation may call to mind futuristic visions of robotic butlers and a retinal scanner for your home security system. But for Smarthome Direct, real-life home automation products have helped create a multibillion dollar business that's seen its 12-month housefile double over the past four years. And Smarthome has done so by leveraging its unique and growing line of electronic home automation products against the home improvement craze that's engulfed the nation in the past few years,

Consumer Time for Me Time for Me is a new catalog put out by AmeriMark. The 11,792 three-month buyers on this file have ordered activewear, intimate apparel, footwear, personal care items, and/or health and beauty products catering specifically to the 40-plus woman. The base list price is $120/M. For more information, contact your list broker or Mokrynskidirect, (201) 487-8181, or www.mokrynski.com. Money Money magazine's 1.5 million subscribers have taken an active interest in their personal money management. This publication offers articles on saving and investing as well as other areas where life and money intersect: the home, travel,

By Donna Loyle How the cataloger uses creative print and production strategies to stay connected to customers. Mention the name Hello Direct, and undoubtedly almost everyone will say the same thing: "Oh yes, the headset company." Like Harley-Davidson and motorcycles, Hello Direct usually is top of mind when it comes to telephone headsets. How the company nurtures and maintains "ownership" of that product is instructive for other catalogers looking to dominate their own categories. Hello Direct executives use a combination of strategies, not the least of which are exceptional creative and print production capabilities that help the company

To say Sovietski Collection catalog has a unique niche would be an understatement. Indeed, a quick flip through its pages is like taking a whirlwind trip around the former East Bloc. Its product selection includes militaria, such as Soviet MiG pilot helmets and copper diving helmets, Russian submarine clocks, East German tank commander binoculars and field phones. There’s also hand-crafted Polish sabers and Czech walking sticks, Lomonosov porcelain tableware, Romanian crystal goblets and Russian-made woolen shawls. The catalog even features a genuine Soviet “Strizh” spacesuit complete with communications helmet and umbilical life-support interfaces. Sovietski sells merchandise and artifacts sourced primarily from Europe