Rumor is they had 40 million in outstanding debt. Rumor is they are getting more money.

If this business model is to succeed, the company needs a new C-Level and executive staff who understands online and integrated operations. They proved they dont!

One problem was they didn’t take care of the customer or look for long-term value and the user interface required an overhaul or temporary band-aids. None of which were done. The online interface was actually an AOL-esque application and not a web-based interface.

Online issues were identified early yet there was no course correction. The senior management and directors did not have experience with an immature online business that needed to take care of the customer. Directors and VPs were hired who had little or no online experience. Early hiring strategy was to hire the executive staff, rather than hire workers. Several VPs was upset that they did not have a secretary to manage their schedule.

While the business model was solid, the executive management did not have the expertise to run an integrated online and direct marketing campaign. While their response will be – failure was caused by an economic downturn, this is far from the truth. For example, the executives gold-plated the IT operation, installed it and then saw funds were low and fired all the contractors who helped install this. Worse, the Executives purchased the new Mac Air Notebooks when their PC laptops were just fine. Proven web strategies were ignored in favor of driving accounts. Priorities were ever shifting and became a running joke amongst the staff. Also, the call center was moved in-house from an outside location, which may have redirected IT and other resources from existing priorities.

This failure will be a great study for B-Schools. Also, the lessons of the Internet business in the late nineties and 2000 were ignored.

a) the logo use is from the holding company Case and others own called Revolution, LLC. It’s used by all the corporate properties notably Revolution Health – which includes all the properties related to Revolution Health.com such as CarePages, Spark People, Health Talk, etc… I guess that’s what they’re now calling Revolution Health Networks but the press releases aren’t very clear. From the last press release, RevolutionHealth is now the number 2 most visited health site on the Internet behind WebMD. This is the part that sounds AOL-ish. Build your market through buying other companies and spreading the ad’s across all the properties.

b) Revolution owns other properties such as MiraVal, Zip/Flex Car, QLoud, Exclusive Resorts and other which you trolls should know are pretty finiancially successful (except for QLoud). So I guess not everything Case touches turns to S#@T, eh? He is also one of the largest land owners in HI and his pineapple company is also very finiancially succesful.

c) Revolution Card was a purchase by Revolution – the company was called GratisCard and was already being marketed. It’s the on line – PayPal portion that’s new. Revolution Card is primarily owned by Ted Leonisis…former vice chair of AOL/TWX and co-owner of the Washington Capitals, Washington Mystics and the Verizon Center through a company called Lincoln Holding, LLC. Case is a majority investor.

c) From the press I read, Case believes that Web 2.0 holds great promise if someone can figure out how to make money off it. Here’s where I see where he’s having trouble. And he’s far from alone. I don’t see ANYONE making money off of social applications.

Now you have accurate information to continue your trolling.

http://moneycen.../creditcard.asp

APR Range This Week Low: 6.5% High: 24.49% Avg: 13.69%

I can’t wait to sign up! Not!

>-)

PS- #18 “techcrunchreader”, you may want to note that the interest rates, terms/conditions, and fees are no different for competitor entry level cards from Capital One, WaMu, BofA, etc. in comparison.

http://www.revo...ement_team.aspx

Did you get the facts wrong on this?