QVC UK announces 15% net sales increase in 2005
14 March 2006:
Highlights:
- 12 million items were shipped to customers during 2005;
- Internet shopping delivered £39.7 million in net sales;
- Interactive TV ordering* accounted for £28.5 million in net sales;
- QVC welcomed 316,379 new customers during 2005.
QVC had its best-ever day on 11 December with orders of £3.56 million. The broadcast focused on beauty products, particularly Molton Brown, the British luxury goods company. The nine-piece set of Molton Brown luxury therapies generated £2.5 million in orders on the day. Over the two-day period following the airing, QVC shipped 125,000 units from the warehouse, 98 percent within 48 hours, representing the highest-ever shipping volume over a two day period.
Mark Suckle, Chief Executive QVC UK, commented: “UK e-retail sales surged last year while traditional bricks and mortar retailing slowed, as more and more shoppers took advantage of the ease and convenience of ordering from reliable online retailers.
“This has helped QVC in two significant ways. Firstly, our web business, QVCUK.com, grew by 33% in 2005 year-on-year. By December 2005, the web was responsible for 15% of our total sales. Secondly, the increase in e-retail sales reflects UK shoppers’ growing comfort with purchasing from a distance.
“Television shopping is even better than the web for demonstrating the features and benefits of a product. It is not just shoppers who appreciate the value of this service, but also suppliers, who see that television shopping is a retail distribution platform that delivers strong sales growth as well as communicating their brand message. An increasing number of global brands, such as Canon and Panasonic, were aired by QVC for the first time last year. At the same time QVC continues to feature premium niche brands and give them national distribution.
“QVC’s e-retailing will take another step later this year. QVC’s website will be formatted for mobile phones, giving access to images and product details for the 14,000 items in stock at QVC while on the go.”
* Interactive TV ordering: orders placed via Sky Active, NTL and Telewest using the remote control and telecoms connectivity
For further information, contact:
Sarah Milward/Anna King
Flagship Consulting
T: 020 7886 8448
About QVC
QVC UK, with net sales of £305 million in 2005, is part of a $6.5 billion global business which reaches over 160 million homes worldwide. The company offers a wide variety of brand name products within its categories of apparel
QVC UK broadcasts from Marco Polo House, London, 24 hours a day, 364 days a year with 17 hours of live programming each day (from 09:00 to 02:00 UK time). The Customer Operations Centre is located in Knowsley, Merseyside. On 31 December 2005 QVC was available to 17.8 million digital terrestrial, satellite and cable homes in the UK. QVC's website is http://www.qvcuk.com.


