April 26, 2006, 12:00 AM

J. Crew 2005 web sales hit $160 million

The company finished 2005 with strong online growth. Web sales grew 31.8% to $159.8 million from $121.9 million in 2004. Total sales increased 18.5% to $953 million.

Mark Brohan

Research Director

J. Crew finished 2005 with strong growth in its web sales channel. For 2005 J. Crew grew web sales 31.8% to $159.8 million from $121.9 million in 2004. At the same time, total sales increased 18.5% to $953 million from $804.2 million in 2004.

For J. Crew, No. 65 in the Internet Retailer Top 400 Guide to Retail Web Sites, the web represented 17% of all sales in 2005 vs.15% in 2004. “In fiscal 2005 our web site logged over 64 million visits, an increase of 33% over our fiscal 2004 visits of 48 million,” the company says in its just-released 10K filing. “The web site represented 63% of the direct business in fiscal 2005 compared to 61% in fiscal 2004.”

In 2005 the web helped J. Crew create a better-rounded multi-channel retailing program, the company says. For instance, J. Crew obtains all of its pertinent demographic and merchandising information exclusively from its catalog and web shoppers. As a result, J. Crew now has a customer database containing 21 million individual customer names, of which 2 million included households that had placed a catalog or Internet order or made a store purchase from J. Crew within the last year. The company also has an opt-in e-mail list of 2.7 million addresses.

J. Crew is adding more personalized shopping categories to JCrew.com such as a new collection of wedding apparel and accessories. “In addition to driving sales and revenue, we use our direct channel to introduce and test new product offerings and sell specialty product lines such as J.Crew Wedding,” the company says.

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