The lawsuit takes aim at companies that pay Amazon customers to write and post reviews.
Sales increased 38% to $6.9 million in the first quarter.
EDiets.com, an online retailer of diet plans and meal-delivery services, posted strong first quarter sales and cut its net loss.
For the quarter ended March 31, eDiets.com, No. 371 in the Internet Retailer Top 500 Guide, reported:
- Sales increased 38% to $6.9 million from $5.0 million in the first quarter of 2010.
- Net loss was $383,000 compared to a net loss of $3.8 million.
- Digital plan revenue declined 26% to $771,000 from $1.04 million.
- Meal-delivery sales rose about 84% to $5.5 million from $3.0 million in Q1 of 2010.
“We achieved these results by continued growth in our meal-delivery customer base and focusing on the fundamentals of cost control, in particular expense rationalization of our ad spend,” says Kevin McGrath, president and CEO of eDiets eDiets’ 2010 numbers. “Going forward, we are focused on developing the optimal marketing strategy, including television, print and online media, to increase our revenues and leverage our business model in a profitable way.”