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HSN puts its own gravy on Thanksgiving turkey

By MARK ALBRIGHT
Published November 21, 2003

Never known for running what department stores call "door buster" sales, Home Shopping Network hopes to gather a crowd with its own version this Thanksgiving.

Network executives say they are lowering their profit margins on a couple of selected "price buster" items hourly for 18 hours beginning at 6 p.m. Thanksgiving Day to draw holiday shoppers to the TV shopping channel.

The St. Petersburg-based network has ambitiously set a goal of a 40 percent sales increase for the weekend after Thanksgiving that is the traditional start of the Christmas holiday shopping season.

Many retailers use heavily promoted door buster sales to draw early morning crowds for deep discount sales that last only an hour or two. Once the customers are in the store they are exposed to other merchandise they might find appealing.

"We've never tried to replicate strategies bricks-and-mortar retailers use, but we think we can offer customer service and products at prices the stores cannot on these items," said Bob Rosenblatt, president of HSN U.S. "You don't have to wake up at 4 a.m. and have the hassle of going to a mall. I challenge you to get an explanation of how these consumer electronics work at a store like Best Buy" the way HSN show hosts do.

The deals are mostly on jewelry, beauty products and consumer electronics. Items range from a private label Cyberhome DVD recorder priced at less than $300 to a Forever Flashlight priced at less than $15 that does not require batteries. The emphasis in the selection is gifts, not apparel.

HSN also recently signed a deal switching its delivery to UPS. That's supposed to shave a day or two off the network's seven to 10 day wait for home delivery.

Like most mail order retailers, HSN needs to create a sense of urgency among holiday gift buyers. To be sure purchases arrive before Christmas, orders must be placed no later than Dec. 16 to avoid paying a premium for shipping.

- Mark Albright can be reached at albright@sptimes.com or 727 893-8252.

[Last modified November 21, 2003, 01:16:48]

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