Radio Rentals Chief Exec talks about what works online and what doesn't...
Comment - Rachael Milne, Business Development Manager at Simple Net.
Following on from my last post about Radio Rentals launching bigbrownbox.com.au, further interviews have taken place with John Hughes, RR Chief Executive. Gerry Harvey announced recently that he thought selling online was "not profitable", "a dead end" and "a complete con". Hence, he won’t be putting anymore money into it for a while.
John has backed up his decision behind bigbrownbox and has spoken candidly about what he believes does sell online and what doesn’t.
John Hughes: The only thing where I would agree with Gerry is relative to furniture where people want to come in and want to see it, feel it, touch it, etc, whereas if you take electrical products such as refrigerators, washing machines, TVs, audio visual, etc, we already do through our Radio Rentals brand in excess of 70 per cent of transactions either over the internet or over the telephone. So it certainly tells you that there is a significant number of people who are quite comfortable in viewing product and making a decision over the internet or without physically seeing the product. Now some of those, of course, may from time to time go in and see the product in store, but I’d also refer you to sites like ABT.com in America, which has proven to be extremely successful in online retail particularly with electrical products, TVs, videos, etc.
Source: Business Spectator
Wednesday, 3 December 2008
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