Martha Stewart Living continues its exodus from e-commerce
Financial results for the first quarter of 2006 show Martha Stewart Living Omnimedia Inc. continuing an e-commerce downslide as it heads for an exit from Internet retailing.
The company’s retail web site had sales of $2.9 million in Q1 2006, a 5.6% drop from $3.1 million the same period last year. Last year web sales dropped 22.2% to $11.2 million from $14.4 million in 2004.
Martha Stewart Living, which ditched its catalog, is moving from an e-commerce online model to one that is content-based—featuring “How to” content and tools—and focuses on advertising revenue; this switch is well underway, the company says. This month through June the company will shift from mapping and designing the revised site to building it. It expects to launch the new site in 2007.
Martha Stewart Living is No. 245 in the Internet Retailer Top 400 Guide to Retail Web Sites.
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