In its second-largest acquisition, Amazon buys the company for $970 million.
Safeway.com reports web sales of $163 million for 2007, a 32.5% increase compared with $123 million in 2006.
E-commerce sales at Safeway Inc.’s Safeway.com reached $163 million for 2007, a 32.5% increase compared with $123 million in 2006. The Internet represents about 0.4% of Safeway’s overall 2007 sales of $42.3 billion.
Growth at Safeway.com, No. 187 in the Internet Retailer Top 500 Guide, was aided by a 40% conversion rate of new customers, says Matt Gutermuth, president and CEO.
Safeway’s overall sales of $42.3 billion in 2007 represent a 5.2% increase from $40.2 billion in 2006. The company attributes growth to marketing strategy, Lifestyle store execution, increased fuel sales and an increase in the Canadian dollar exchange rate. Same store sales, excluding fuel, increased 3.4% compared to 2006.
Net income for the year ended Dec. 29 was $888.4 million, a 2% increase compared to $870.6 million in 2006.
Safeway.com delivers groceries in Arizona, California, Maryland, Oregon, Virginia, Washington and Washington, D.C. The company operates 1,743 stores in the United States and Canada.