SOURCE: MyBuys, Inc.

MyBuys, Inc.

November 18, 2009 15:23 ET

MyBuys Reports Health of Online Retail Is up 0.2% in October

Total Revenue up 12.6%, but Sales of Non-Promoted Goods Decreases by 2.6%

REDWOOD CITY, CA--(Marketwire - November 18, 2009) - MyBuys, the leading provider of personalized product recommendations (PPR) for retailers, today released the MyBuys E-commerce Wellness Index™, which measures the overall health of U.S. e-commerce and tracks key trends among retailers. The October Index reports a 12.6% year-over-year growth in total revenue, but the health of e-commerce was up just 0.2 percent. Sales of discounted items were up over 112% from the previous year, and the depth of discounts also increased to 28% -- up from discount levels of 24.6% in 2008. Despite showing a healthy increase in overall revenue, online retailers saw revenues drop 2.6% on non-promoted goods from the same period one year prior.

"We continue to see a consistent theme of increased sales, with all -- or close to all -- of the increase attributable to the sale of promoted goods," said Robert Cell, CEO MyBuys. "The bright spot continues to be that product sales based on personalized recommendations were discounted substantially less often than those that were not. As was demonstrated in the e-Tail survey of consumers last June, 3 out of 4 consumers expressed an increased likelihood of purchase when products were targeted to meet their needs."

In October, the Index showed that retailers discounted 68% less on personalized offers than they did for non-personalized offers.

Added Cell, "Merchandisers have always known that relevancy matters -- when product recommendations are relevant, consumers simply purchase more."

About the MyBuys Ecommerce Wellness Index™

The MyBuys Composite Index aggregates total sales, non-promoted sales, discounted sales performance, depth of discounts, AOV and consumer impulse response from our over 150 MyBuys clients.

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