This week in eCommerce, high-end retailer Nordstrom’s investments into its online operations is paying its dividends. Nordstrom.com saw 20% growth during the first quarter of this year, while the company’s three online channels increased from $479 million to $597 million, making up 19% of total sales. Dick’s Sporting Goods is ending their partnership with eBay Enterprise and moving their online store to their own platform, hoping this will help to boost margins and improve profitability. Drizly, a mobile application that helps users find liquor stores that delivery, ended a round of Series A Funding this week that totalled $13 million. The start-up will put the money raised towards expansion efforts in 30 new markets. Target reported this week that web sales accounted for 28% of growth for the first quarter. Target’s online sales for Q1 2015 were $479.3 million, up by 37.0%. For all the details from this week’s newsmakers read-on below!
Nordstrom’s eCommerce Growth
Nordstrom’s online sales grow nearly 25% in Q1
Source: Internet Retailer
Nordstrom’s investments to its online properties have paid off. The retailer saw a 20% growth on its Nordstrom.com site during the first quarter and 50% on HauteLook.com and Nordstromrack.com. Sales on Nordstrom’s three online channels increased to $597 million from $479 million, which made up nearly 19% of sales. NordstromRack.com was launched in May of last year, and was the first online property for the company’s discount store. Hautelook, a flash-sale eCommerce site was acquired by Nordstrom in 2011. In addition the the success of the properties Nordstrom owns, the company is making strategic investments in Canada, which has contributed to a growth of $100 million in sales. Nordstrom opened stores in Calgary and Ottawa with four more locations in the plans to open in 2017. Nordstrom is also making improvements to its delivery infrastructure, by opening a new fulfilment centre in Pennsylvania this year. For more information on Nordstrom’s sales click here.
Dick’s Takes Matters Into Its Own Hands
Dick’s Sporting Goods aims to control its e-commerce destiny
Source: ZDNet
Dick’s Sporting Goods is looking to improve its margins and boost profitability, and hopes that by moving away from their current eCommerce partner eBay Enterprise they will accomplish these goals. Dick’s has put a focus on eCommerce growth recently, and have since been outpacing the market while increasing market share. Analysts have questioned whether Dick’s large store format is still beneficial for the company, as the store has experience some disappointment on Wall Street. Dick’s maintains that its large stores will be aid in the growth of their online presence, acting as showcase centres for their products and distribution warehouses for online sales. By January of 2017 Dick’s hopes to move it’s eCommerce site to their own platform. With the rise of omnichannel, retailers want more control online. Dick’s goals with eCommerce include: improving profits, differentiate themselves online, better leverage customer data, improving agility, and controlling development.
The Cup Overfloweth for Drizly
Drizly Lands $13 Million In Series A Funding
Source: TechCrunch
Drizly announced a close this week of $13 million in Series A Funding. Polaris Partners, along with investors Suffolk Equity Partners and First Beverage Group participated in the round. Drizly, a mobile application that connects users with liquor stores that delivery is aiming to get to 30 new markets by the end of this year. Drizly’s international operations partners with stores that already have a delivery component in place, saving them the time of setting up a new infrastructure. Across major markets Drizly is experiencing 25% in growth month-to-month, and apparently handling orders in the tens of thousands. Drizly currently operates in Austin, Baltimore, Boston, Boulder, Chicago, Denver, Indianapolis, Los Angeles, Minneapolis, New York City, Providence, Seattle, St. Louis, and Washington D.C and hopes that this recent round of funding will help with their expansion goals. Drizly has direct access to a network of wholesalers via the Wine & Spirits Wholesalers of America (WSWA) , who are partnered with the start-up to bring their operations up to speed with technology. Drizly keeps afloat by charging a monthly licensing fee for the use of its technology.
Mass Market eCommerce Keeps Growing
Target’s web sales grow by 37% in Q1
Source: Internet Retailer
Target’s strategic plan for their online store must be working! The retail giant reports that web sales accounted for 28% of growth for the first quarter. The chain has implemented a long-term plan focusing on growing and improving their eCommerce presence, and it looks like it’s paying off. Many factors helped boost sales during Q1, including the warmer weather and an early easter. The main contributor to Target’s online success so far this year was the launch of a new line in conjunction with brand Lily Pulitzer. Target’s $129 million growth in online sales represents 28% of their sales for the quarter. To help propel their business along, Target cut jobs early this year, and announced an investment of $1 billion being made in technology. The numbers don’t lie, Target is on the right strategic path and is making a comeback after getting hit by a major data breach in 2013, which impacted its business and sales greatly.
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May 18 – 22 appeared first on Demac Media.
