QVC Financial Status

Winkk · ‎03-15-2010

There have been a few posts recently about the financial status of QVC. In today's Philadelphia Inquirer they did an article about it. The article is behind a pay wall so I cut/pasted the attached. I don't think it tells us anything new.

QVC has been whacked by tariffs on Chinese goods and declining consumer sentiment

The home-shopping network says it’s reducing its reliance on goods from China and seeing results from a new deal with TikTok.

Call it a double whammy.

Not only are QVC’s customers feeling glum about the economy — they’re also tuning out the home-shopping network, changing the channel to keep up with chaotic tariff rollout.

Neither of which is good for the West Chester- based parent company QVC Group Inc. this week reported a 10% decline in revenue over the prior year for the quarter that ended March 31 as it continued to lose traditional TV customers.

Facing challenges on several fronts, QVC said it hoped to significantly reduce itsreliance on goods sourced from China which account for about 50% of the company’s product costs — down from 55% five years ago but still vulnerable to current 145%minimum tarrifs on that country.

“Given the inherent uncertainty in ongoing trade negotiations, it is difficult for us to quantify the potential impact of tariffs at this time,” president and CEO David Rawlinson said on a call with analysts Wednesday. “This is a challenging and very fluid situation, but we are taking broadscale action to manage the impact.”

Here are three things to know about how QVC is trying to cut costs and get shoppers back — including its new deal with TikTok.

jackthebear · ‎03-11-2010

it's more than tariffs

poor shipping
Reliance on chit chat vs. details on what is on air,

soozer · ‎03-26-2010

Yep. Once the OGs stop buying -- or die -- the Q cannot compete for younger affluent shoppers who find better options and deals online. Kudos for mgmt for trying; unfortunately it is a sign of the times and it may be over for the Q business model.

Speaking as an OG, our time is spent downsizing, donating, and eliminating excess. BTW: The over 50 campaign was at times offensive. Hint: TikTok is under scrutiny and attempts are being seen to ban it in some areas/school districts/ and states.

Carolina925 · ‎03-09-2010

I'll probably get slammed for saying this but, when QVC decided it wanted to become a social media station, I think it started its decline. Much of the products they sell are geared towards more seasoned shoppers, not teens/early 20s and 30s clients, but they choose to gear their sales to social media sites. Instead of hiring new hosts, maybe they should start at the top and hire different upper management personnel.

Carolina925 · ‎03-09-2010

Forgot to add that blaming the tariffs as an excuse is a bit comical. I've not noticed the huge price increases on other websites I use for purchases, especially clothing. There's always an excuse.

Still Raining · ‎03-30-2014

I have bought since the early 90s and have seen the shift. I was working and in my early 40s then and they sold things geared to me. Now they are selling less expensive items aimed at what they assume someone my age wants. Missing the mark big time.

ellaphant · ‎12-13-2010

@soozer wrote:
Yep. Once the OGs stop buying -- or die -- the Q cannot compete for younger affluent shoppers who find better options and deals online. Kudos for mgmt for trying; unfortunately it is a sign of the times and it may be over for the Q business model.

Speaking as an OG, our time is spent downsizing, donating, and eliminating excess. BTW: The over 50 campaign was at times offensive. Hint: TikTok is under scrutiny and attempts are being seen to ban it in some areas/school districts/ and states.

Younger demo will never go for Q clothing. Overall, the items care dated and dull.

Winkk · ‎03-15-2010

@Carolina925 wrote:
Forgot to add that blaming the tariffs as an excuse is a bit comical. I've not noticed the huge price increases on other websites I use for purchases, especially clothing. There's always an excuse.

@Carolina925 I agree with you. I also think companies will increase prices and blame it on tariffs just because they can and who is going to dispute it?

skatting44 · ‎07-26-2019

Scape goating on tarriffs . They certainly did not mention as to why so many customers don't watch . Agree their formats of Hosts chit chat and antics rather than facts abt items presented are an issue for me . Free shipping opportunities are a plus but many times unannounced . Exchanges are problematic as often times order is processed as " return " and shipping fees applied erronously .

As far as tarriffs , most everything sold in USA is made in China since the NAFTA went into effect back in the 1994.

skatting44 · ‎07-26-2019

Forgot to mention, QVC's lack of having decent after Christmas / holiday sales as other retailers do.

They have Christmas items & Easter items at full regular price. I was looking at MacKenzie Childs items in particular and ended up ordering reduced priced items from their website while I qualified for free shipping .