November 26, 2012, 2:31 PM

Web sales grow modestly for ShopNBC in Q3

But year-to-date e-commerce revenue is essentially flat.

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This year remains a tough one financially for ValueVision Inc., operator of ShopNBC.com. But the TV and Internet retailer did show an improvement in the recently ended third quarter, including online.

For the quarter ended Oct. 27, ValueVision and ShopNBC, No. 91 in the 2012 Internet Retailer Top 500, reported:

  • The Internet accounted for 44.8% of sales compared with 44.1% in the third quarter of 2011. Based on those metrics, web sales grew year over year 3.6% to about $61.6 million from about $59.5 million.
  • Total sales increased 1.8% to $137.6 million from $135.2 million in the third quarter of 2011.
  • Average ticket decreased 4.8% to $100 from $105.
  • Net loss was $3.7 million compared with a net loss of $6.3 million in the prior year.

“Ongoing initiatives to improve customer service and engagement yielded positive results in the third quarter, including improved call center efficiency and lower transaction costs,” says CEO Keith Stewart.

For the first nine months:

  • The Internet accounted for 45.4% of sales compared with 45.0% in the first three quarters of 2011. Based on those metrics, web sales grew year over year 0.5% to about $185.8 million from $184.9 million.
  • Total sales decreased 0.4% to $409.3 million from $410.9 million in the first three quarters of 2011.
  • Average ticket decreased 8.3% to $99 from $108.
  • Net loss was $16.3 million compared with a net loss of $39.7 million in the prior year.

“The company strategically shifted airtime from jewelry and watches to invest in our home and consumer electronics, and beauty, health and fitness categories in Q3,” Stewart says. “This airtime shift helped diversify our product mix and reduce our average selling price, contributing to improved new and active customer counts in the quarter.”

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