CompuServe slashes marketing
Report says CompuServe may be cutting expenses while searching for a buyer.
CompuServe has slashed more than $100 million from its marketing budget and may be looking for a buyer, according to a published report.
The cutbacks represent nearly half of the $220 million CompuServe spent on marketing in fiscal 1996 and may be an attempt to clean up the company's finances while looking for a buyer, Inter@ctive Week stated in a press release issued Sunday.
Time Warner, AT&T, and IBM's Global Network Services division were listed as potential buyers of CompuServe Information Service or the CompuServe's telecommunications network services unit.
Last week, Senior Vice President of Marketing Cynthia Vahlkamp resigned from the company. Following her resignation, marketing department employees received memos that detailed the company's plans to trim marketing activities.