Direct marketing sales declined for the Spiegel Group in October, but not as much as retail sales.
The company reported total sales of $217.9 million for the month, compared with $234.1 million during the same four-week period last year. Direct sales fell by 5%, compared with 9% for retail.
The DM total is the result of a 47% increase in e-commerce business, offset by a 14% drop in catalog sales.
The biggest hit seemed to be to Eddie Bauer’s comparable store sales. They fell by 19%, contributing to an overall decline of 6% for Bauer compared with the same period last year.
However, Bauer saw growth in its direct sales.
Spiegel also posted a 6% decline in total sales for the year to date. It grossed $2 billion, compared with $2.2 billion last year.
Last month, Spiegel reported a third-quarter loss of $12.3 million. James R. Cannataro, chief financial officer, blamed the loss on “sales weaknesses in each of our merchant companies as well as higher charge-offs in our credit operations.”
The Spiegel Group includes the Spiegel catalog business, Eddie Bauer, and Newport News.
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