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News Stories Wednesday, January 25, 2006   
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Discovery discovers that more partners can help grow web sales


Discovery Communications Inc. is developing more outside relationships and expanding its search engine marketing program to drive more web sales and build up its online brand.

In 2005, Discovery Communications, No. 200 in the Internet Retailer Top 400 Guide to Retail Web Sites, developed new marketing relationships with QVC.com, another unit owned and operated by parent company Liberty Media Crop., and with Sears.com, says Kelly Day, vice president of e-commerce for Discovery Commerce, Discovery’s retail arm.

Discovery operates a network of 120 stores, but sees the web as a chief means to build out its e-commerce brand. In the last year, Discovery also has expanded its relationship with other TV and web retailers. For instance, Discovery, which carries about 2,000 SKUs in its online inventory, now sells merchandise such as toys, fitness products and electronics on QVC and QVC.com, which reach more than 80 million U.S. households. “We are always looking for new opportunities to reach new customers,” Day says.

Discovery, which initiated its relationships with QVC.com and Sears.com in 2005, also has marketing and merchandising relationships with Amazon.com, America Online and MSN. “These are all good customer touch points,” Day says.

In 2006, Discovery will expand its search engine marketing program and conduct consumer focus groups before embarking on some e-commerce site improvements. Recently Discovery began working with ChannelAdvisor Corp., which acquired SearchMarketing.com in July, on an enhanced search engine marketing strategy. So far Discovery and ChannelAdvisor have increased Discovery’s keyword inventory from about 1,000 keywords and phrases to about 12,000.

Discovery will also be conducting focus groups and solicit feedback on redesigning certain portions of its web site, such as streamlining checkout and reorganizing certain merchandising categories on the home page, Day says.

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