San Francisco-based Yaga, a provider of advanced payment services for online/digital content, has named former top VISA executive Michael Beindorff to its board of directors. Prior to joining Visa, Beindorff spent 15 years with the Coca-Cola Company where he held a variety of marketing and management roles including vice president, director of marketing Coca-Cola USA and vice president of advertising.
NextCard’s 700,000+ cardholders continue to be active on line shoppers, making online purchases approximately five times more often than the average online credit card user. The ‘NextCard eCommerce Index’ for March shows that Amazon.com remained the No. 1 online merchant, followed closely by Half.com, EBay, Ubid.com and BarnesandNoble.com. New Top 30 e-commerce merchants for the month include Classmates.com, an online school reunion portal, and CitySpree.com, a regional auctions site. Equifax, which offers a suite of credit tracking services for consumers, came in as #28 on NextCard’s survey with a 20% gain in spending for March. The ‘NextCard eCommerce Index’ combines a large cardholder base of active online purchasers and data-mining technology that tracks online credit card transactions.
Transaction data by 500,000+ NextCard cardholders reveals Amazon.com continues to hold the #1 ranking among top online merchants. AOL ranks as #2. The latest NextCard ‘eCommerce Index’ also shows that Priceline Air/Hotel and the Juno service are rising rapidly among Internet merchants while Ebay and Stamps.com have declined. Juno has been very aggressive with customer acquisition, including advertising, and in targeting customers of ISPs that have recently shut their doors. The NextCard ‘eCommerce Index’ combines two critical components to accurately reflect online transaction activity: 1) a large cardholder base of active online purchasers and 2) data-mining technology that tracks credit card transactions online.
PlanetRx.com, Inc. , a leading Internet healthcare destination for commerce, content, and community, announced that Michael Beindorff has been appointed Chairman of the Board by the Company’s Board of Directors. Mr. Beindorff was elected to the Board of Directors of PlanetRx.com in April 2000 and will retain his duties as President and Chief Executive Officer.
Mr. Beindorff, 48, joined PlanetRx.com as executive vice president and COO in September 1999, and has been president since February 2000. He has more than 20 years of strategic, high-profile brand development and management experience. Most recently Mr. Beindorff was with Visa, where he served as president and chief “e” officer of eVisa, Visa’s Internet and electronic commerce division. Before that, he served for four and a half years as Visa USA’s executive vice president of marketing and product management. Prior to joining Visa, he spent 15 years with the Coca-Cola Company, where he held a variety of positions including vice president, director of marketing, and vice president, director of advertising for Coca-Cola USA. Mr. Beindorff has been named one of the “Power 50 Marketers in America” by Advertising Age the past four years in a row.
PlanetRx.com, Inc., a leading Internet healthcare destination for commerce, content, and community, delivers a convenient, personalized, and informed health and beauty shopping experience. With products ranging from prescriptions to personal-care items to the latest medical information, PlanetRx.com gives consumers the ability to manage their own healthcare in a convenient and secure environment. PlanetRx.com is one of five online pharmacies to have received the Verified Internet Pharmacy Practice Sites (VIPPS) seal of approval from The National Association of Boards of Pharmacy (NABP). Headquartered in South San Francisco, Calif., the company operates its own pharmacy and distribution center, in Memphis, Tenn., to ensure the highest quality customer care.
NextCard released the ‘NextCard eCommerce Index’ for July which covers the online spending habits of NextCard’s 443,000 cardholders. The top sites included #1 amazon.com; #2 AOL; #3 Earthlink; #4 Ebay; #5 Buy.com; #6 Priceline Grocery; #7 BarnesandNoble.com; #8 MSN; #9 Half.com and #10 UBID.
PlanetRx.com, Inc. ([http://www.PlanetRx.com]), an Internet healthcare destination for commerce, content, and community, Wednesday announced the promotion of Michael A. Beindorff, 47, from executive vice president and chief operating officer to president and chief operating officer.
“Our company is growing very rapidly and Michael is a big part of that growth,” said William J. Razzouk, CEO of PlanetRx.com. “Michael is a proven leader. His contribution thus far has been a key element in PlanetRx.com’s overall success and will continue to be as he takes on the expanded role of president.”
In his new capacity as president and chief operating officer at PlanetRx.com, Mr. Beindorff will oversee all marketing, business, product, brand development and customer satisfaction efforts. During his tenure at PlanetRx.com, Beindorff has already led the creation of a new, multi-million dollar advertising campaign — part of an overall marketing effort focused on customer acquisition, customer retention, and brand building.
“It has been a great experience contributing to the growth of PlanetRx.com in these past six months,” said Michael Beindorff, president and chief operating officer at PlanetRx.com. “I’m looking forward to accelerating that success as we continue our mission to become the nation’s premier online healthcare destination for products, information, and personalized services.”
Mr. Beindorff joined PlanetRx.com in October after serving as president and CEO of e-Visa, Visa’s Internet and electronic commerce division. Prior to joining Visa, he spent 15 years with the Coca-Cola Company where he held a variety of positions, including vice president of marketing and vice president of advertising for Coca-Cola USA.
For the past four years, “Advertising Age” has named Mr. Beindorff one of the Power 50 Marketers in America. He currently serves on the Board of Directors for Purpletie.com and on the Board of Advisors for iPIX, Achex, kinzan.com, and Latitude 90.
PlanetRx.com, Inc. ([http://www.planetrx.com]), a leading Internet healthcare destination for commerce, content, and community, delivers a convenient, personalized, and informed health and beauty shopping experience. With products and services ranging from prescriptions to personal care items to the latest medical information, PlanetRx.com gives consumers the ability to manage their own healthcare in a convenient and secure environment. PlanetRx.com is one of four online pharmacies to have received the Verified Internet Pharmacy Practice Sites (VIPPS) seal of approval from The National Association of Boards of Pharmacy (NABP). Headquartered in South San Francisco, Calif., the company operates its own pharmacy and distribution center in Memphis, Tenn., to ensure the highest quality customer care.
PlanetRx.com, Inc., a leading Internet healthcare destination for commerce, content and community, Wednesday announced an Internet marketing and promotional agreement with NextCard, Inc., the leading issuer of credit cards online.
Under the terms of the agreement, PlanetRx.com will exclusively market and promote the NextCard Internet Visa on its Web site. In addition, NextCard will utilize its expertise as a top-five online advertiser to promote PlanetRx.com through aggressive online marketing efforts. The two parties will provide PlanetRx.com branded incentives to encourage online purchases with the NextCard Visa.
“We are confident that NextCard will enhance the shopping experience for our current members, while also bringing new customers to our Web site,” said William J. Razzouk, chairman and CEO of PlanetRx.com. “The relationship between NextCard and PlanetRx.com complements our ongoing commitment to provide consumers with the best products and services available on the Internet.”
PlanetRx.com will promote NextCard’s credit card and e-commerce services to PlanetRx.com members through alternative vehicles such as e-mail, ad placement and mailers. New NextCard cardholders from PlanetRx.com will receive exclusive NextCard privileges, including instant online approval, valuable one-click shopping services with NextCard Concierge, a comprehensive rewards program, and a 100% Safe Online Shopping Guarantee with 24-hour interactive online service and support.
“NextCard continues to aggressively grow its e-commerce initiatives and cardholder base through strategic partnering with category leaders such as PlanetRx.com,” said David Schwartz, vice president of customer acquisition at NextCard. “PlanetRx.com is one of the most trusted healthcare destinations on the Web, so we are pleased to promote their services and collaborate with them to deliver value to our cardholders.”
PlanetRx.com, Inc. ([http://www.planetrx.com]), a leading Internet healthcare destination for commerce, content, and community, delivers a convenient, personalized, and informed health and beauty shopping experience. With products ranging from prescriptions to personal care items to the latest medical information, PlanetRx.com gives consumers the ability to manage their own healthcare in a convenient and secure environment. PlanetRx.com is one of four online pharmacies to have received the Verified Internet Pharmacy Practice Sites (VIPPS) seal of approval from the National Association of Boards of Pharmacy. Headquartered in South San Francisco, Calif., the company operates its own pharmacy and distribution center, in Memphis, Tenn., to ensure the highest quality customer care.
About NextCard, Inc.
NextCard, Inc. ([http://www.nextcard.com]) is considered the leading issuer of consumer credit on the Internet. Launched in 1997, the company was the first to offer online credit card approval within 30 seconds, a choice of customized credit card offers, personalized PictureCard(SM) design and the 100% Safe Online Shopping Pledge. NextCard is committed to providing the most robust consumer shopping experience on the Internet and continues to innovate with its GoShopping!(SM) site, NextCard Concierge(SM) Web shopping companion, comprehensive rewards program, and exceptional online customer service.
NextCard is consistently a top ten online advertiser, operates a network of over 35,000 affiliates and has exclusive card relationships with leading brands including Amazon.com, priceline.com and DILBERT. The Company publishes the NextCard eCommerce Index(SM), the premier source of online purchase activity, and was named the No.1 credit card brand online consumers would consider for use, according to ZDNet’s BrandIQ research study. NextCard was named a Top 50 Financial Web site by Money magazine, a HOT 100 Company by Upside magazine and one of The Standard 100 most important and influential companies in the Internet economy by The Industry Standard. The Company also owns a minority stake in Flooz.com, the premier online gift currency.
CT-based MemberWorks reported yesterday net income of $3 million on revenues of $78.9 million for the fourth quarter. The firm provides membership services to credit card issuers and also distributes its services via online channels. The company says its membership base has increased to 5.8 million members.
Ernst & Young released results from its 1999 post-holiday online retailing survey, finding that 26 percent of those polled made a purchase online during the holidays. Additionally, the number of women who shopped online during the holiday season outpaced the men. Fifty-six percent of total respondents were women and 44 percent were men.
The survey, which polled 1,283 Internet users, also found that while the sites most-visited by Internet shoppers remain consistent with earlier findings, a slightly different set of winners is revealed when reviewing the average dollar amount spent at these sites. For example, Amazon.com was the #1 shopping destination for 42 percent of online shoppers this holiday season, followed by eToys (20 percent), Toys R Us (19 percent), Barnes&Noble.com (17 percent) and Buy.com (16 percent). However, the top five sites by average dollar amount spent are Best Buy ($233), Egghead.com ($217), 1800flowers.com ($173), Disney ($172) and Walmart ($167). (See chart.)
Percentage of respondents who shopped at a particular site and the average they spent:
% respondents Average Amt.
shopping online Spent at Site
that shopped at site
————————— ——————– —————
Amazon.com 42.1% $128
eToys 20.3% $127
Toys R Us 19.4% $134
Barnes&Noble.com 16.9% $63
Buy.com 16.1% $111
Cdnow 14.3% $69
KBToys 14.3% $89
eBay 12.5% $152
J.C.Penney 9.8% $151
Drugstore.com 7.2% $38
PlanetRX.com 5.4% $33
Land’s End 5.2% $133
Columbia House 4.9% $71
Petsmart 4.9% $38
Reel.com 4.9% $72
Disney 4.6% $172
Egghead.com 4.3% $217
Iqvc 4.1% $151
1800flowers.com 3.9% $173
Best Buy 3.7% $233
Borders 3.3% $69
LL Bean 3.3% $138
Walmart 2.9% $167
“Whenever we ask online shoppers where they make their purchases, Amazon.com comes up again and again as number-one,” said Stephanie Shern, Ernst & Young’s Global Director of Retail & Consumer Products. “This new data, however, reveals that online shoppers are spending their money across a variety of online retailers and categories. The purchases made online are broad-based and many Internet retailers are enjoying a successful season.”
Total Online Sales
The Ernst & Young survey found that, on average, online shoppers spent $1,225 on Internet purchases during the past 12 months, with 60 percent spending at least $500. Most (87 percent) said that the total dollar amount they spent increased over the previous 12 months, and almost all (91 percent) said that they would spend the same or more in the coming 12 months in online purchases.
“Given this new data, we are updating our estimate for online holiday sales in 1999 to $10 – 13 billion,” said Shern. “Considering the dramatic increase in the number of Internet sites and merchandise available, plus the broad-based success among these retailers, our estimate of total revenue for calendar year 1999 remains at $25 – $30 billion.”
Favorites and Disappointments
When Internet shoppers were asked to report on their favorite online retailers this holiday season, the top five sites listed as number-one were Amazon.com, eBay, Buy.com, eToys and Barnes&Noble. (See chart.)
Favorite shopping sites and reasons why?
Total Top Reasons
Amazon.com 32% good selection good prices easy to use site
48% 16% 14%
eBay 6% good selection Has items not good prices
56% available in 16%
Buy.com 5% good prices 48% good selection 35%
eToys 5% good selection good availability easy to use
44% of items 20% site 11%
Barnes&Noble.com 5% good selection easy to good availability
52% use site 9% of items 9%
Cdnow 4% good selection good prices 19% easy to use
50% site 14%
Toys R Us 2% good selection good availability good prices,
23% of items 18% ease of
Land’s End 2% good selection easy to use site offers brands
53% 16% I like
Egghead.com 2% good selection good prices good availability
44% 31% 19%
JCPenney 2% good selection on-time delivery good prices
40% 20% 13%
Disney 2% good selection easy to use site
In addition, respondents were asked to report on sites that disappointed them this holiday season. The top sites that were mentioned as number-one were Toys R Us, Best Buy, Buy.com, eToys and Walmart. “Overall, the percentages given by respondents are fairly low,” said Shern. “Even though there were some disappointments, this is not such bad news.”
Disappointing sites and reasons why?
Total 1st Top Reasons
Toys R Us 13% merchandise out of merchandise could site was
stock 29% not be too slow
delivered 21% 18%
Best Buy 3% could not find desired
Buy.com 3% merchandise merchandise could tech. Probs,
out of not be high shipping
stock 28% delivered 12% costs, poor
eToys 3% merchandise could not find site slow/
out of desired merch. 22% difficult
stock 22% to use 9%
Walmart 3% could not find merchandise prices
desired out of un-competitive,
products 48% stock 13% site difficult to
JCPenney 2% merchandise site was too could not find
out of slow 14% desired prod, tech
stock 52% probs 10%
KBToys 2% merchandise could not find technical problems
out of desired 25%
stock 25% products 25%
Amazon.com 2% merchandise prices were not merchandise out
could not competitive 22% of stock 17%
Barnes&Noble.com 2% merchandise out could not find merch. Could
of stock 24% desired products not be
eBay 2% site was too slow site was hard poor customer
21% to use 21% service 14%
Total Holiday Shopping
Ernst & Young found that the average amount spent on total (all venues) holiday purchases was $1,080. Of these purchases, 67 percent were bought in stores, 7 percent through catalogs, and 26 percent online. Categories with the most purchases (all venues) were: toys (73 percent purchased from this category), apparel (70 percent), CDs/videos (64 percent), books (60 percent), and computer hardware and software (58 percent). Most purchased categories online were: books (50 percent), computer hardware and software (49 percent), toys (47 percent), CDs/videos (44 percent), and flowers (42 percent).
About Ernst & Young
Leveraging its strengths in e-business and drawing upon its deep knowledge of the retail and consumer products industry, Ernst & Young has developed a dedicated capability in e-tailing, helping retail and consumer products companies develop and execute 24×7 businesses that fully leverage Internet-based technologies to sell directly to customers. It is led by Stephanie Shern, Global and U.S. Director of Retail and Consumer Products.
Ernst & Young ([www.ey.com]) is one of the world’s leading providers of dot-company services in assurance, consulting, corporate finance and tax. More than 85,000 people around the world act as creative catalysts, joining forces with clients to do all it takes–FROM THOUGHT TO FINISH(TM)–to achieve positive, significant change. E&Y pioneered the development of advanced solutions that connect clients, partners and employees with E&Y resources and knowledge to help them rapidly reach their goals. Ernst & Young refers to the U.S. firm of Ernst & Young LLP and other members of the global Ernst & Young organization.
The exodus of top talent at VISA continues this morning with the news that Michael Beindorff is leaving to head an Internet healthcare startup. The news also comes on the heels of VISA’s reorganization which was announced yesterday. Beindorff served as VISA’s EVP of marketing and product management for the past four years and was named two weeks ago to be the president and CEO of VISA’s new Internet unit, e-VISA. South San Francisco-based PlanetRx.com said this morning that Mr. Beindorff will serve as EVP and COO. The Internet healthcare company operates it own pharmacy and distribution center in Memphis, TN. The company says Beindorff will lead the firm’s charge to build brand awareness among the crowded e-health market. Prior to joining VISA, Mr. Beindorff spent 15 years with the Coca-Cola Company where he held a variety of positions including vice president, director of marketing and vice president, director of advertising for Coca-Cola USA. He also serves on the Board of Directors for Purpletie.com and on the Board of Advisors for Bamboo.com.
NextCard introduced the ‘NextCard eCommerce Index’ yesterday. Compiled from the monthly activity of approximately 100,000 NextCard Internet VISA cardholders, the NextCard eCommerce Index is based on the number of actual online purchases, rather than page views or site visits. The index is a monthly listing of the top 25 online merchants and the top 10 movers based on the number of online purchase transactions. The top five online merchants include: AOL ONLINE SERVICE; AMAZON.COM; ONSALE; BUY.COM; and CD NOW. The top five movers include: IBM INTERNET SERVICE; WEBVAN; KBKIDS.COM; WAREHOUSE.COM; and ECOST.COM. The ‘eCommerce Movers’ is a monthly listing of the top online merchants that experience the largest percentage change in transaction volume from the previous month.