For Soap.com, Lore and Bharara will employ the same merchandising strategy that they used to grow Diapers.com: lure in customers with fast delivery on low-margin goods--like baby formula and now, toilet paper--and then profit from higher-margin products like car seats and, with Soap.com, vitamins and beauty products.
If digital photography sales bomb, Plaza Create will end up with a lot of costly assets that do nothing to boost its paper-thin 1.1% net profit margin.