HSN Expands Into Digital, Gaming

Mindy-Grossman-AAs HSN looks to expand its traditional home shopping business further into digital platforms, CEO Mindy Grossman said Tuesday another redesign of at least one part of the company’s digital interface is coming.

About 37% of HSN’s business is conducted via digital outlets, Grossman said at an investor event. The flagship HSN unit, which had $541.9 million in net sales in the first quarter, saw an 8% bump in digital sales.

Part of HSN’s goal is to turn HSN.com into an “experiential” locale. Last year, realizing casual games are popular among a core female 30-to-50 year-old demographic, the company launched an HSN Arcade section with 25 games.

That can lead to a second-screen experience -- it has a shop via remote control opportunity -- as people watch the network, which is also streamed online. An example could come via the HSN Live music initiative to sell CDs, where an artist conducts a live concert on the network. In the case of Lionel Richie, there was a live pre-show on Facebook.

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The HSN company also operates a Cornerstone business in the home and apparel segments, which has a large catalog business. Grossman said the aim is to increasingly use the print displays as a marketing vehicle for digital transactions.

As far as a general portrayal of the state of the consumer, Grossman said: “I don’t think everyone is in this ‘oh, let’s go spend because things are hunky dory,’ (mode), but we’re not seeing the real retraction … that we saw when we were really seeing the pressured environment,” she said.

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