00142833; 00151723

Amazon Viewed Diapers.com as Top Competitor

benchmarking team recentlycompleted a study of Diapers.com.They are our largest and fastestgrowing competitor in the on-linediaper and baby care space.

keep the pressure on pricing onus. They apparently have lowerfulfillment costs than we have.

00132026; 00151722

hese guys are our #1 short termcompetitor. . . . [W]e need to matchpricing on these guys no matter whatthe cost.

have already initiated a moreaggressive to againstdiapers.com. . . . To the extent this planundercuts the core diapers business fordiapers.com, it will slow the adoptionof soap.com.

The Plan Worked

00154656; 00009716

Decelerating Growth in Core DiapersCategory. As noted, Quidsi had a challengingQ3-10 . . .

expect to lose lots of money overthe nxt few yrs-this will make it worse.