Drkoop.com Continues Cost Cutting

Share this content:
Drkoop.com, a health information provider, is closing its Austin, TX, offices -- resulting in the loss of 45 jobs -- and is consolidating its corporate headquarters in Santa Monica, CA, in an effort to cut costs and create new alliances, the company said yesterday.


The moves are expected to reduce the total cash expenses to less than $1 million per month. Cash expenses reached a high of $8 million a month last March.


The company, which has 2 million registered users, also said certain sales and business development employees would be located in the Philadelphia area.


"This new alignment and relocation will allow us to leverage opportunities that are not limited to the Internet,'' said Richard Rosenblatt, CEO of drkoop.com. "These will include a bricks-and-clicks portfolio of partners and offerings with multiple revenue sources, including license fees, subscription fees, revenue sharing, sponsorships and advertising."


Co-founded by former U.S. Surgeon General C. Everett Koop, the company went public on June 8, 1999.


In early December, the Nasdaq notified drkoop.com that its stock had been trading below $1 for 30 consecutive days. The stock exchange required drkoop.com to comply with its listing rules or face removal.


Drkoop.com, which originally started with 185 employees, is now down to about 35. It cut 35 percent of its work force in May and in August reduced its staff from 120 to about 80.

Sign up to our newsletters

Company of the Week

Since 1985, Melissa has helped thousands of companies clean, correct and complete contact data to better target and communicate with their customers. We offer a full spectrum of data quality solutions, including global address, phone, email, and name validation, identify verification - available for batch or real-time processes, in the Cloud or on-premise. Our service bureau provides dedupe, email/phone append and geographic/demographic append services for better targeting and insight. For direct mailers, Melissa offers easy-to-use address management/postal software, list hygiene services and 100s of specialty mailing lists - all with competitive pricing and excellent customer service.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here