April 22, 2010, 4:15 PM

Online retailers fared well in the first quarter, reports Mercent

Same-seller sales were up 38% for Mercent’s clients in Q1, compared to the previous year, reports the interactive marketing service provider.

Internet Retailer

Same-seller sales were up 38% for Mercent’s clients in Q1, compared to the previous year, reports the interactive marketing service provider.

Mercent, which facilitates retailer sales through online marketplaces like Amazon.com and eBay.com, reports especially strong sales through its Amazon channel, which increased 58% in the first quarter.

Mercent’s index is volatile because retailers tend to focus more on third-party online sales channels as a revenue generator when the market is strong, and tend to contract that spending when the market is weaker, says Eric Best, Mercent CEO.

“This growth is driven by retailers focusing on customer acquisition and ad spending,” he says. “As e-commerce comes back, retailers are putting those new dollars to work. As a result, many of the channels we manage are growing faster than the market at large.”

Part of the sharp increase can also be attributed to Microsoft Corp.’s Bing Cashback program, which virtually every Mercent client sells through, says Best. “It’s now one of our top four drivers of transaction volume,” he says.

Google’s increased emphasis on retailer advertising has also been a key factor in the growth, says Best. Google now has five programs explicitly targeted to retailer advertisers, including product listing ads and product extensions that show shoppers more information when they click on text ads. “Google is creating new growth opportunities for retailer advertisers that are new and different and that are driving double-digit, quarter-over-quarter growth for our customers,” he says.

Mercent’s retail clients include 1-800-Flowers.com, REI and Brookstone.

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