The e-retailer reports a $126 million net loss, stemming from a $640 million year-over-year increase in spending in the quarter on technology and content ...
Expanded search engine marketing played a key role in Omaha Steaks, a web retailer and direct marketer of high-quality meat and complementary products, increase its final 2004 web sales to $85 million.
Expanded marketing, especially search engine marketing, helped Omaha Steaks beef up its web sales in 2004. Online sales at Omaha Steaks, a web retailer and direct marketer of high-quality meat and complementary products, hit $85 million in 2004, a 23% increase over $65 million in 2003.
“Our efforts in the area of new customer development involve working with our online marketing partners such as AOL, MSN Shopping, Amazon and Yahoo Shopping to expand our search partnerships to make it easier for new online customers to access our site,” says Jim Paschal, director of online marketing for Omaha Steaks. “We also have expanded our affiliate marketing program to allow customers to conveniently reach our web site through a multitude of links on other sites.”
A greater emphasis on marketing is also paying off in other online metrics. Omaha Steaks, one of the earliest direct marketers to open a web store more than a decade ago, reports that its average sales conversion rate is now 2.75% and that total monthly visits now average about 850,000.
“Our business strategy involves a continuing commitment to customers,” Paschal says. “We genuinely listen to our customers and work diligently to develop new products and services to serve them better. Our goal is to continually make our website more convenient to access and to use.”