The Top 500 retailer buys Campus Deals, which offers mobile coupons to college students.
Restoration Hardware hammers away at growing web sales
Restoration Hardware Inc. is on track to join the $100 million online sales club. Through the first nine months of 2006, Restoration Hardware reported e-commerce sales of $77.6 million, an increase of 50% from the prior year.
Restoration Hardware Inc. is on track to join the $100 million online sales club. Through the first nine months of 2006, Restoration Hardware reported e-commerce sales of $77.6 million, an increase of 50% from web sales of $51.8 million for the same period in 2005.
With a growth rate of 50%, Restoration Hardware is on track to generate web sales of more than $115 million in 2006 vs. web sales of $76.2 million in 2005. In the third quarter, web sales rose by 50% to $24.2 million from $16.9 million in Q3 2005.
Overall for the period of January through September of 2006, the web accounted for 17% of total sales of $468.8 million, compared with the same period in 2005 when web sales comprised 14% of total revenue of $390.6 million. "We are pleased to report another quarter of solid progress,” says Restoration Hardware president and CEO Gary Friedman. "Total revenues increased 22%, reflecting our ability to gain market share and improve profitability, despite a difficult home furnishings environment."
Restoration Hardware, No. 273 in the Internet Retailer Top 500 Guide, also is launching new direct marketing initiatives. In August, Restoration Hardware launched Brocade Home, a fashion home brand aimed at the budget-minded home furnishings shopper, the company says. Brocade Home was developed by Lisa Versacio, who joined Restoration Hardware from Williams-Sonoma Inc. where she was responsible for developing and launching the West Elm brand. Eventually Brocade Home will have an e-commerce base.
"We are excited about the introduction of Brocade Home, a fashion home brand targeted at the broader value market with a unique and feminine point of view,” says Friedman. “The brand launches with a catalog this fall, and our plan is to develop a multi-channel retailing platform over the next several years."