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Company:
Business Response Inc.
Revenues: $19 million
Web address: www.regcen.com
Site launch cost: $10,000
Current technology profile: Apple PowerBase 200, Adobe
Illustrator, Adobe Photoshop, MetaCreations Painter Classic
Why we love it: A first-of-its-kind service assumes
the burden for companies that are plagued by product-safety
problems
Categories of success: Utility & Innovation
A product is
recalled. The courts settle a class-action suit in the plaintiffs'
favor. These are the times that try CEOs' souls.
Donald Kornblet
can't save his customers from such unpleasantness, but he
is using the Web to prevent the associated administrative
headaches from turning into migraines. Kornblet founded Business
Response Inc., a St. Louisbased customer-support, telemarketing,
and business-services company, in 1986. Those innocuous-sounding
"business services" are, in fact, critically important: Kornblet
helps his customers notify their customers about
product recalls, legal settlements, and corporate acquisitions.
"If the Food
and Drug Administration or the Consumer Products Safety Commission
determines that you have a product that is going to be recalled,
you have to put together a notice program," explains Kornblet.
Such programs, designed to alert affected consumers and let
them register for recompense, generally include direct mail,
point-of-sale announcements, and ads in traditional media.
More recently, "government agencies have seen the value of
expanding notice efforts to the Web," says Kornblet.
But processing
claims for thousands of consumers who register on-line can
be a labyrinthine task. Administrators must solve the nontrivial
problem of moving customer-registration information into appropriate
databases and other back-office systems. Then there's the
whole poisoning-your-well factor: no company wants bad news
living cheek-by-jowl with its marketing material. "They want
to be able to separate their product-safety message from the
product information that is the core of their site," Kornblet
says.
So in February,
BRI added the first-of-its-kind Internet Consumer Registration
Center to its portfolio of claims-administration services.
Consumers who are due to receive a settlement or who own a
product under recall access their program information by typing
in www.regcen.com followed by the name of the remediating
company and then register for their program on-line. BRI processes
the data and fulfills their claims by sending them checks
or replacement products. More than 30 of Kornblet's customers
-- large and midsize corporations in a variety of industries
-- are using the service, which includes design of the on-line
notification announcements. Customers pay BRI a setup fee
of $1,500 to $2,000, plus between $5 and $10 for each consumer
who registers through the site. (As of September, approximately
1,000 people had done so.) "We would hope that the Consumer
Registration Center will generate annual billings of $750,000
to $1 million within two years," says Kornblet.
In addition
to plumping up BRI's bottom line, the Internet Consumer Registration
Center burnishes the company's star among the Washington lawyers
who typically advise corporations embroiled in safety-related
travails. "These lawyers are very sensitive to what government
agencies want in respect to notice, and they see this type
of offering as a plus," says Kornblet. "It speaks to our expertise
in the field, and as a result the lawyers may be more likely
to recommend us to their clients."
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