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Ship-from-store delivery also expanded to 115 stores in the third quarter.
Dick’s Sporting Goods Inc. ramped up its commitment to e-commerce in the third quarter, making some store inventory available to fill online orders, and credits the ship-from-store option with helping deliver a big jump in web sales.
For the quarter ended Oct. 27, Dick’s, No. 101 in the 2012 Internet Retailer Top 500, reported:
- E-commerce sales accounted for 4.4% of total sales, and increased by 46.7%, company executives told analysts on its recent quarterly earnings call. Based on those metrics, Internet Retailer calculates online sales grew to $57.6 million in Q3, from about $39.3 million in the prior year quarter.
- Total sales of $1.31 billion, up year over year by 11.2% from about $1.18 billion.
- Comparable-store sales, which include e-commerce, increased by 5.1%.
- Net income of $50.1 million, a 20.7% increase from $41.5 million in Q3 2011.
“We continue to grow our e-commerce business while improving transaction profitability, increasing inventory productivity, and providing customers more choices about where, when and how they shop in fortifying our competitive positioning,” Edward Stack, chairman and CEO told analysts on the company’s earnings call.
A ship-from-store option for web customers expanded to 115 Dick’s Sporting Goods stores in the third quarter. The chain operates a base of 511 stores, but didn’t comment on when a full rollout of its ship-to-store program is expected.
“Ship-from-store is an incredibly powerful tool as it reduces delivery time to the customer, while improving productivity and transaction profitability because ship-from-store allows us to utilize the inventory located in our stores, which was previously unavailable online to customers,” Stack said.
For the first nine months of 2012 Dick’s Sporting Goods did not break out e-commerce sales. The company did report:
- Total sales of $4.03 billion, a 12.0% increase from about $3.60 billion.
- Comparable-store sales increased by 5.6%.
- Net income of $161.0 million, up by 5.4% from net income of $152.8 million through the first nine months of 2011.