Home Shopping Network anticipates a 26% increase in 2005 web sales

HSN.com, the e-commerce arm of The Home Shopping Network, is expected to post another year of solid web sales.

Internet Retailer Top 500 Guide

For 2005, HSN.com expects to generate a web sales increase of around 26%. At the Shop.org 2005 Annual Summit in Las Vegas in mid September, Frank Han, executive vice president and general manager of HSN.com, told attendees during a break-out session that web sales for HSN.com were likely to approach $380 million in 2005, which would be up 26% from web sales of $303 million in 2004.

HSN.com, No. 31 in the Internet Retailer Top 400 Guide to Retail Web Sites, will also play a major role in helping IAC/InterActiveCorp., its parent company, become a more diversified retailer. In a recent financial presentation, IAC/InterActive chief financial officer and executive vice president Thomas J. McInerney told Wall Street analysts, the press and others that The Home Shopping Network has about a 27.1% market share in the TV retailing business, compared to about 1% in the Internet retailing market.

But with the right combination of multi-channel retailing, e-commerce initiatives and web-based customer service programs, IAC/InterActive could potentially increase the amount its customers spend annually across all channels to around $900, compared with a $300 average ticket for a TV shopper and $190 for a web shopper, McInerney said in the presentation.