Total sales for QVC Inc. dropped in the third quarter, but domestic e-commerce revenue grew slightly.
For the quarter ended Sept. 30, U.S. web sales for QVC, No. 11 in the Internet Retailer Top 500 Guide, rose year-over-year by 4.5% to $257.5 million from $246.5 million. Overall total revenue, which includes both U.S. and overseas sales, decreased by 2.4% to $1.64 billion from $1.68 billion in the third quarter of 2007. QVC also posted third quarter operating income of $231 million vs. $175 million in the prior year. QVC doesn’t break out its foreign web sales.
“We are managing our business for the long term as we navigate these turbulent times," says QVC president and CEO Mike George. "We have adjusted our fourth quarter product, programming, and promotional mix to the current market realities, while staying true to our core principles.”
For the first three quarters of the year, QVC, a business unit of Liberty Media Corp., posted U.S. web sales of $835 million, an increase of 5.9% from web sales of $788.5 million in the prior year. “Despite the challenging environment, we believe our customers are willing to treat themselves when we offer compelling value and products in an entertaining format,” says George.
Although it didn’t break out specific figures, Liberty Media also reports that sales for Liberty Interactive, which includes Backcountry.com, Provide Commerce, Bodybuilding.com and BuySeasons.com, grew by 112% during the third quarter. “The increase in revenue was primarily driven by the impact of Bodybuilding.com,” the company says.
Ivy Chin, Vice President Architecture, Design & Video, QVC, will speak at Internet Retailer Web Design Conference, Jan. 19-22, 2009, in Miami. Chin’s session will be on Jan. 20.
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