Web-only retailers, including Amazon, accounted for 42% of sales of all retailers ranked in the Read Now
The e-retailer is rolling out more private-label products.
On the heels of a decent third quarter earnings report, online health products retailer Vitacost.com Inc. is diversifying its product lines.
Vitacost.com, No. 87 in Internet Retailer’s 2013 Top 500, is adding more products to its lineup of private-label products. The web-only retailer is adding new food, beauty and diet products, including skin care creams and oils, meal-replacement diet shakes, powdered organic peanut butter and nutrition bars.
“To make healthy living affordable for everyone, we will continue to develop lower-priced alternatives to the products our customers desire the most,” says CEO Jeffrey Horowitz.
The push to develop and launch more private-label merchandise coincides with a decent financial performance for Vitacost.com for the third quarter. For the quarter ended Sept. 30, Vitacost.com reported:
- Sales of about $90.5 million, up 10.1% from $82.2 million in the third quarter of 2012.
- Net loss was about $3.6 million compared with around $5.1 million in the prior year.
- The number of new customers added reached 312,000, an increase of 7%.
- Average ticket was $75.44, up by 6.9% from $70.58 in the third quarter of 2012.
“During the third quarter, we tested new promotional strategies in order to better balance customer growth,” Horowitz says.
For the first nine months:
- Sales increased 16.2% to about $285.5 million from about $245.7 million.
- Net loss was around $10.9 million compared with $15.4 million in the prior year