Web and total revenue grew 6% for The Knot in 2010
February 11, 2011 04:24 PM
The Knot Inc. saw web sales for its wedding-related merchandise dip for the fourth quarter, but grow for the full year.
For the year ended Dec. 31, The Knot reported:
- E-commerce sales, comprising wedding merchandise, were $26.2 million, up by 6.1% from $24.7 million in 2009. The acquisition of Felicite.com and its eWish.com registry services in May 2009 accounted for approximately $2.3 million in revenue during the first four months of 2010, The Knot says.
- Online advertising increased by 8.6% to $60.5 million from $55.7 million in 2009.
- Total sales were $112.9 million, up by about 6% from $106.4 million.
- Net income was $3.7 million, compared with a net loss of $4.9 million.
Internet Retailer calculates that web merchandise sales accounted for 23.2% of total sales in 2010, identical to the prior year.
“We are beginning to harvest the fruits from two years of platform and infrastructure investments with sales momentum building in our most attractive businesses: national and local online advertising,” says David Liu, CEO at The Knot, No. 335 in the Internet Retailer Top 500 Guide.
For the fourth quarter, The Knot reported:
- Web sales of wedding-related merchandise of $3.8 million, down by 2.6% from $3.9 million in the prior year period.
- Online advertising revenue was $16.3 million, an 11.6% increase from $14.6 million in 2009.
- Total revenue for the quarter was $27.5 million, up about 10% from $25.1 million in the fourth quarter of 2009.
- Net income was $1.5 million, compared with a net loss of $6.0 million in the prior year quarter.
Internet Retailer calculates web merchandise sales accounted for 13.8% of total sales in Q4 2010, compared with 15.5% in Q4 2009.
In November, The Knot launched Ai Jie, whose web site Ijie.com provides Western traditions and local resources for weddings in China. With the launch of the web site, the company says it wants to position itself as the authority on Western-style weddings in China, a market with approximately 10 million weddings per year—almost five times the 2.2 million weddings per year in the U.S.