Q Talk

[Spurt]

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As for the item you highlight,  it says a lot of what some of us have been saying for so long... The one area, though, where I take exception to this and so many other posts that have appeared here and elsewhere is the assumption that Amazon is 'the' enemy...

Virtually every retailer now offers an on-line presence that one can access via a computer or various 'apps'. That Amazon is perhaps perceived as the preeminent 'threat' to retailers doesn't negate the fact that 'market share' is now split among plenty of retail resources, some with an online presence, some with physical stores, and some with both... Moreover, there's a failure to recognize the highly successful 'discount' chains, offering a wide array of frequently changing merchandise at low cost... Amazon is not the only competition by a mile...

Merely continuing to add jewels to the Liberty/"QVC Group" crown isn't going to accomplish much to make the two networks competitive. Market share might increase for the Group because there are more entities selling goods under their umbrella, but failing to 'get' that unless the management and overall operations of QVC and HSN themselves change dramatically, continued acquisitions aren't likely to make them any more competitive than they are currently, either with regard to their own long-standing dismal numbers or certainly compared to Amazon. I suggest the powers that be ponder that one for a while. 

As for 'the fan club', until QVC or HSN folds up their tent and goes home, they're never going to get it, because they simply don't want to...

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@stevieb

Overlooking my own personal bad experiences with Amazon.....the reason why they are considered "the enemy"....is they don't seem to be satisfied with what they have...their tenatacles run far and deep and they aren't done.....they conquered retail and then expanded into the technology field not only with products but distribution of it as well....And recenly they entered the grocery game...Even WallyWorld is concerned.............

What I fear, being the good capitalist that I am, is they are mowing down all the other businesses as they go..OR to stay afloat companies will only be able to do business under their "umbrella" ...leaving us with less choices, and no competition as far as prices............

They are just getting too big for their britches and if they keep expanding and growing they will get more vulnerable...people are starting to see that some of their prices arent always the best....and your neighbors in the Qwappital may demand a breakup if you get my drift.......... And if more and more people shop online will they be able to keep up with the distribution...even the short Christmas season is a challenge to make sure goods are delivered in time.......

Call me old fashion but I actually like to go see products--- feel, touch them, check the quality, with clothes/shoes  try them on before buying.....And I smile thinking what I save on shipping...and I dont consider Amazon's Prime a bargain...I'd have to buy a heck of ton of stuff to make it worthwhile...

Everything is geared to the millelinals and I dont understand millelinals who are the I WANT IT YESTERDAY generation but are willing to wait for products ordered online to be delivered and I even had that conversation with them and even they couldn't explain it, do you actually like ordering and putting together furniture?????.....It doesn't make sense something has to give....even if you order for pickup at a store it still requires a waiting period....go figure.........

In the long run I think "discount stores" places like TJ's/Home Goods/Marshalls are going to be the winners....as people get tired of dealing with problems with deliveries, products arent what they seemed to be online, returns, shipping charges etc etc etc....perhaps the longing to touch merchandise before you buy.....and the growing problems of gangs of thieves stealing packages from doorstops

[Spurt]

@stevieb

I think the whole merger was a means to distract stockholders on how bad those 2 companies are really doing....Of course Magic Mike will use his way of words to put a beautiful spin on th whole thing.....the increase in potential customer base ..and blah blah blah (well you read the letter)...............

Ive never found anything worthwhile at Zulilly....but OH NO didnt realize that with their purchase they got Grandin Road and Garnet Hill....those will be destroyed with cheap poor quality products...or replaced with Q's house brands most likely....

And if this isn't a sign of RETAIL APOCALYPSE I don't know what is:

Against a backdrop of namely negative news, Lord & Taylor recently announced a partnership with Walmart, where it will open somewhat of a "store within a store" on Walmart.com in the spring of 2018. The deal between the two will help Walmart become more of a fashion destination online, while Lord & Taylor also aims attract new shoppers to its brands and build a stronger digital presence.

[TY]

@Spurt

@stevieb

A fine analysis of the QVC/HSN merger. 

I don't see millennials or younger people flocking to either tv shopping channel as they don't spend time watching tv. Maybe they would use the QVC App or the HSN app but I doubt it. A merger doesn't change the audience who buys from them.

Millennials like my daughter are the poster child for wanting experiences and less stuff. She's spent time traveling and working in another country and when she came home for Christmas, the online purchases were from Amazon. She has never purchased from a tv shopping channel. I'm pretty sure that is typical now. None of my nieces or nephews in the U.S. have purchased from QVC, HSN, or Zulily. They buy from Amazon, Ebay, Etsy, or bricks and mortar store that have websites. T.J. Maxx and Marshall's stores are a favorite with them.

[stevieb]

@Spurt I think some of those subsidary retailers have long been under the HSN or QVC umbrella, so maybe they'll be left alone. The difference is they all apparently now fall under George's expanded fiefdom, which is upsetting, given what he's done to QVC... As for zulily, I've only shopped there sparingly, but some people I know say it's changed for the worse since it became part of the gang... Mainly, I've heard the deals aren't as good... As for Amazon, the one advantage they offer me is I can usually find something I'm seeking there, even when I can't find it anywhere else. I also read a lot and order a good number of books from them. Otherwise, yes, they've grown so large that I just am not scrolling through hundreds of pages of merchandise simply to browse...

As for the major stockholders, one has to assume these aren't stupid people and that they aren't going to take anyone's word at face value... Other than expansion for the sake of expansion and the expanded (but oft times glitchy) digital model, I wouldn't be enthused were I one of them.

[Spurt]

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wrote:

@Spurt

@stevieb

A fine analysis of the QVC/HSN merger. 

I don't see millennials or younger people flocking to either tv shopping channel as they don't spend time watching tv. Maybe they would use the QVC App or the HSN app but I doubt it. A merger doesn't change the audience who buys from them.

Millennials like my daughter are the poster child for wanting experiences and less stuff. She's spent time traveling and working in another country and when she came home for Christmas, the online purchases were from Amazon. She has never purchased from a tv shopping channel. I'm pretty sure that is typical now. None of my nieces or nephews in the U.S. have purchased from QVC, HSN, or Zulily. They buy from Amazon, Ebay, Etsy, or bricks and mortar store that have websites. T.J. Maxx and Marshall's stores are a favorite with them.

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@TY

Reading a Mike George interview sadly the Q seems to be under the illusion that just because QVC has an APP and electronic sales continue to grow instead of by phone, that they are attracting a younger demographic....But behind the electronics are mostly women probably 45 and older not the 35 or younger crowd that they think....And your daughter and others her age are shopping just like the financial "rags" are saying.........Thats why TJ/Home Goods/Marshalls are on the right track, while Q is on the wrong one....will they pay $50 or$60 for a t-shirt...HECK NO---they will go to TJ or Marshalls and pick something up there.......They spend their money on CURRENT electronics or experiences....from what I read they are even less interested in new cars and purchase of a home than generations of the past.......Your right you see it, funny how QVC can't see this.........

[stevieb]

@Spurt @TY When I referenced succesful discount chains in my earlier post, it was the TJX outfit I specifically had in mind. They've managed to succeed in virtually every economic climate they've faced and even managed to tweak their operation to deal with changes in supply chains brought about, among other factors, as department stores increasingly funnel overstocks to their own outlets that would once have gone to TJX... While they aren't offering quite the same array of pricing, goods or customer friendly services they once did, they're still offering enough and they continue to be very popular. I call tell you, I personally browse and shop with them more than I do with either QVC or Amazon. I was excited to learn they'll soon be opening one of their new Home Sense stores nearby... I'm definitely not one who wants to put furniture together out of a carton...

[Spurt]

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wrote:

@Spurt @TY When I referenced succesful discount chains in my earlier post, it was the TJX outfit I specifically had in mind. They've managed to succeed in virtually every economic climate they've faced and even managed to tweak their operation to deal with changes in supply chains brought about, among other factors, as department stores increasingly funnel overstocks to their own outlets that would once have gone to TJX... While they aren't offering quite the same array of pricing, goods or customer friendly services they once did, they're still offering enough and they continue to be very popular. I call tell you, I personally browse and shop with them more than I do with either QVC or Amazon. I was excited to learn they'll soon be opening one of their new Home Sense stores nearby... I'm definitely not one who wants to put furniture together out of a carton...

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@stevieb

Yep, the TJX companies got the smarts....and articles have said many millenlials buy their clothes there....so they got that demographic too.......I don't think Q's clothing line asking $50 for a t-shirt will attract them anytime soon........And our stores here are packed with shopppers.....specially that TJ/Home Goods combo store..........

I head to that TJ/Home Goods Store myself...I do like Stein Mart for clothes and they have some nice decor pieces in a couple of their stores, and Dillards still has good sales.........But Id rather check Ebay/Etsy than go to Amazon.........I do like Hobby Lobby, Kirklands, for home decor too...

As for books, yes I used to buy books at Amazon, but now go to local book stores, used book stores (they do sell some new books), and Barnes & Noble....Ill pay a higher price than deal with Amazon, besides I like the atmosphere of one store in particular........

A lot of the millinials love Wayfair and that put together yourself furniture...as for me--NO WAY!!!  

[TY]

@Spurt

@stevieb

We buy toilet paper, paper towels, and Denta Stix treats for our dog at Costco in Canada. Unfortunately a lot of multinational retailers still have a poor web presence in Canada. TJX, the parent company of T.J. Maxx, Marshall's, Winners, Homesense, and Home Goods does not have a website in Canada that one could purchase off of like they do in the U.S. My sister bought our mom a winter jacket last year from the T.J. Maxx website because she already had bought one for herself in-store. I wish I had that option here. I always look at the skin care and cosmetics when I visit Winners. I can tell that a lot of department store products from the Estee Lauder group of companies are ending up at Winners now that a lot of department stores are closing and downsizing their stores. I see Clinique, Estee Lauder, MAC and Bobbi Brown. I see discontinued or old packaging from drugstore brands L'Oreal, Revlon, Almay, Maybelline, and Physicians Formula. There's always tons of hair care products too. Fragrances are hit and miss. In the past couple of months I've managed to buy some nice Japonesque makeup brushes, hand washes, face washes, a Clinique sunscreen, and a micro-derma-roller knockoff.

And Winners also stocks a lot of Korean skin care products too. And I've seen the exact Sigma makeup brush sets that are being sold on QVC.

I like looking at shoes at Winners but it's hit and miss there if I will find any shoes that fit and are comfortable. Clothes -- not so much as not every store carries a good selection of clothes for me as I wear a missy 14-16 or a L, XL in tops. I bought my daughter a down jacket at Christmas time from T.J. Maxx. It was a Calvin Klein one and it was about $70 U.S. with taxes. In Canada I saw the identical coat in a different color for about $200 CDN at Hudson's Bay before they put it on sale. This is a perfect example of where I or my daughter would spend their money...on a bargain at T.J. Maxx and not at a department store like HBC.

[TY]

A interesting related article from the Retail Insider website (which focuses on Canadian retail news) says that 60% of all Canadian internet sales come from just 6 corporations:

Amazon Canada, Ebay Inc. Canada, Apple Canada, Walmart Canada, Costco Canada, and Home Depot Canada.

The Shopping Channel aka TSC isn't even on the list. The Shopping Channel is owned by Rogers Communications. The Canadian shopping TV channel has been around just as long as QVC and HSN, since February,1987.

https://www.retail-insider.com/retail-insider/2018/2/trendex-canadian-content