In its second-largest acquisition, Amazon buys the company for $970 million.
Internet sales at J. Crew Group Inc. were up 16% while total sales were flat. Spiegel’s web sales increased by a like amount while total sales fell 15%.
Internet sales at J. Crew Group Inc. were up 16% for the month that ended April 6 vs. the comparable week last year, the company reported today. Store sales were up 3% (comparable store sales down 11.2%) while catalog sales fell 25%. The net effect: No increase in revenue from last year.
Internet revenue reached $8.7 million, up from $7.5 million a year ago. Store sales were $33.6 million, up from $32.6 million. Catalog sales dropped to $6.7 million from $9 million. J. Crew reports shipping and handling fees separately. They decreased 7.7% to $2.4 million from $2.6 million. J. Crew operates 140 stores and 41 factory outlet stores as well as jcrew.com and its catalog.
The Spiegel Group’s sales continue their dive while Internet sales grow. Spiegel reported today that web-based sales grew 16% in March while total sales fell 15% to $217.8 million. Spiegel does not report dollar volume of web sales.
The company says sales results reflect weak customer demand as well as lower catalog circulation and less promotional activity compared to the prior year.