Q Talk

[bonnielu]

Losing out.  High prices.  Shipping costs and lots of competition. 

[Spurt]

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@On It wrote:

My eyes glass over when I see these reports. I may ask my husband to take a look later and explain it to me, but I do have a question. Down from what? 3rd quarter, previous 4th quarter? I don't think they will ever have the audience they had in 2020 when everyone was sheltering at home. New customers were mentioned often on air. A decline would be expected if compared to the previous 4th quarter. In addition this past 4th quarter would have been the one most affected by the supply chain issues which occurred significantly in that quarter.

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@On It 

Prior to the pandemic revenues and sales were down, when Covid caused everyone to quarantine in their homes, Qurate (QVC/HSN) picked up in revenues and sales, however, as restrictions were relaxed and people were about and about more the last quarter didnt turn out so good anx that was the Holiday season....now part of it was supply/manufacturing issues but a lot of it was where they were before the pandemic.....

Here's from the PressConference-

David Rawlinson

Part of what we saw through the fourth quarter among competitors, of course we saw them taking some price in regard to inflation, but we also saw store traffic go back up. We saw a lot of brick and mortar either reopen or advertising campaigns driving people back to stores. You also saw an increase in digital marketing which drove some digital marketing inflation throughout the market, and then finally click-and-collect, order online and pick-up at store also grew substantially, so you saw the market sort of rebalancing from online back to a more natural mix, probably, of offline, and I think you also saw people getting out of the house and getting offline a touch in terms of how they balance their shopping. We definitely saw those trends and I think it just makes for, once again, a richer competitive environment than what we faced as the pandemic concentrated some of the trends.

[Puppy Lips]

The decline in sales does not surprise me.  I had my reasons for buying less, as I am sure many people did.

There are so many options now for buying "stuff."  Plus, I think their customer base is aging, and wanting/needing less "stuff."  QVC does not really appeal to younger people in my opinion, no matter how hard they try.

I don't think QVC will go under any time soon, but I don't think they will ever reach sales numbers they used to.  This is only my opinion, of course.  We will see how they do this year.

[Frenchlop]

Isn't it still an incredible amount of money to make?

[Spurt]

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@Johnnyeager wrote:

The declines reported are Year Over Year (YOY), not quarter to quarter. 

YOY is used due to quarterly seasonality factors.

3Q21 QxH Revenue:  $1.813 billion 

4Q21 QxH Revenue:  $2.539 billion 

An increase of 40% quarter to quarter due to the holiday shopping season.

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@Johnnyeager 

Here's quarter to quarter...

We did not expect our fourth quarter results to deteriorate at this rate and thought it was important to issue the pre-release for transparency. As we enter this turnaround, we will continue to try to help the markets understand our progress.  

Obviously we are not pleased with our Q4 performance. 

[Johnnyeager]

Prior year comparisons.

[Spurt]

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@Frenchlop wrote:

Isn't it still an incredible amount of money to make?

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@Frenchlop 

That's before any deductions, you have to look at the OBIDA. OIBDA is operating income before depreciation and amortization.

[Frenchlop]

Gotcha, I didn't know 

[Gabidog]

I believe it has been a tough year for retail but I think Macys had a pretty good year.  QVC did have the fire and hopefully will recover.  On the other hand I noticed QVC is now offering pre owned designer handbags for thousands of dollars.  Affinity line has too many rings over two thousand dollars and not enough under one thousand.  Who do the buyers think is watching 24/7?  When I check in each day to look at the new items I do not recognize many of the brands and most are never presented.  Even the food items at times you cannot find the nutrition information.  The plants often do not have a growing guide!  I have to go to another garden website and look up whether it is for sun or shade.  Get back to some basics and priorities...there is no need for a 24/7 multi channel retail site if folks are not watching.

[Caaareful Shopper]

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@Gabidog wrote:

I believe it has been a tough year for retail but I think Macys had a pretty good year.  QVC did have the fire and hopefully will recover.  On the other hand I noticed QVC is now offering pre owned designer handbags for thousands of dollars.  Affinity line has too many rings over two thousand dollars and not enough under one thousand.  Who do the buyers think is watching 24/7?  When I check in each day to look at the new items I do not recognize many of the brands and most are never presented.  Even the food items at times you cannot find the nutrition information.  The plants often do not have a growing guide!  I have to go to another garden website and look up whether it is for sun or shade.  Get back to some basics and priorities...there is no need for a 24/7 multi channel retail site if folks are not watching.

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@Gabidog  There has always been a very huge market for pre-owned luxury handbags.  Plus, QVC is offering 18-month financing.  If you check QVC's inventory of them, many are already Sold Out.  There may be only one or two each, but they are indeed selling.  I saw it posted on Instagram, and some posters seem to be losing their minds over QVC having these pre-owned designer handbags now.