ShopNBC mining mobile
Retail Editor 4 -- Home Textiles Today, August 22, 2013
Minneapolis - Enhancements to the mobile shopping experience paid off big for multi-channel electronic retailer ShopNBC during the second quarter, resulting in a 56% jump in year-over-year mobile sales. Mobile increased to 23% of Internet sales from 16% in last year's second quarter.
"What we are offering the customer in terms of mobile is resonating. I would say that there is especially a lot of resonance with our tablet features and functionality that we have offered to our customers," chief operating officer Carol Steinberg said during parent company ValueVision's quarterly conference call yesterday afternoon.
ShopNBC, which is transitioning to the ShopHQ nameplate, recently created a one-page checkout across all of its automated ordering channels. On its ecommerce site, the one-page format reduced the core abandonment rate by 560 basis points, she said.
In the September/October period, the retailer will introduce the ShopHQ tablet app for the iPad. After that, it will launch a second screen functionality as a companion to a consumer watching a ShopNBC show.
"We'll give them all kinds of related content to the show that they're watching, and it will change every hour as we put on a new show," said Steinberg. "We'll have a lot of content in terms of video, brand positioning, feeds that will allow a customer to ask questions of a show host, and to ask their friends and other ShopHQ customers what they think about the product."
Net loss for the quarter ended Aug. 3 narrowed to $1 million from $4 million in last year's second quarter. Sales jumped 10% to $149 million, led by the Fashion & Accessories and Home & Consumer Electronics categories.
ShopNBC's total customer base rose 22% during the quarter, said ceo Keith Stewart.
"We believe current trends indicate that more than one-quarter of the new customers will repurchase with us in the next 90 days," he said.
For the first half of the fiscal year, net income was $200,000 vs. a net loss of $13 million in the year-ago period. Sales rose 10% to $300 million.