QVC
From Free net encyclopedia
QVC is a West Chester, Pennsylvania, USA, based multinational corporation, specialising in televised home shopping. Founded in 1986 by Joseph Segel, QVC broadcasts in four major countries to 141 million consumers. The name is an initialism—standing for "Quality, Value, Convenience"—ostensibly, the three pillars of Segel's vision for the company.
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Corporate history
QVC was founded on June 13, 1986. The first live broadcast took place at 7:30 ET on November 24 of that year. Hosts Kathy Levine and Bob Bowersox featured a shower radio for $11.49. Initially running live for 16 hours a day, the channel extended its broadcast hours to 24 at the beginning of 1987. The corporation set a new record for first full-year fiscal sales for a new public company of $112 million.
In a move that many considered to be a risky gamble, QVC acquired its top competitor, the Cable Value Network (CVN), in 1989, despite the fact that CVN was about twice QVC's size. The $380 million deal contributed to a loss of $17 million during the next fiscal quarter, and then to difficulties in the couple of years that followed. However, with a major piece of its competition out of the picture, the network eventually progressed to renewed and stronger profitability.
In 1993, QVC, Inc. formed a deal with British Sky Broadcasting to create a UK version of the channel. QVC—The Shopping Channel first broadcast in the UK on October 1.
On February 2, 1995, Comcast purchased a majority shareholding in QVC, Inc., taking control of the corporation. QVC kicked off the "Quest for America's Best—50 in 50 tour" a 50-week nationwide product search.
QVC's shopping network went online on September 9, 1996, when the company's interactive division, iQVC, launched QVC.com, allowing customers to purchase their items online via the Microsoft Network. QVC Germany launched in December of that year.
QVC was named "Official National Retailer for the 53rd Presidential Inaugural" in 1997, and US operations at Studio Park commenced on September 24.
On August 8, 2001, QVC @ the Mall, a flagship store at the Mall of America in Minnesota, opened. QVC shipped its 500 millionth package on October 29, 2001.
July 3, 2003 saw Comcast sell its majority share to Liberty Media, setting the value of the company at $14 billion.
In March 2004, the integrity of the company was impugned when the Federal Trade Commission charged QVC with making "deceptive claims" about weight loss products and the United States Department of Justice filed a lawsuit against the company.[1] At the same time, QVC Inc. bought out BSkyB, becoming sole shareholders in QVC UK.
Also that year, over 105 million units were shipped, more than 160 million phone calls were handled, 2 million new customers were gained, and QVC had its biggest sales day ever, December 4, both online and on air.
Operations
All four QVC networks run 24 hours a day, although live programming hours vary between each region.
QVC US
Image:Qvc johnson and gracie.jpg QVC's U.S. operations are based in the Studio Park complex in West Chester, Pennsylvania, which houses its corporate headquarters, studio and broadcasting facilities, and distribution warehouse. Call center facilities are located in Chesapeake, Virginia, Port St. Lucie, Florida, and San Antonio, Texas. Additional distribution centers are situated in Lancaster, Pennsylvania, Suffolk, Virginia, and Rocky Mount, North Carolina, in order to ensure the fastest possible delivery of items.
QVC U.S. also operates a series of retail stores across the country, including one at the Mall of America in Minnesota.
QVC broadcasts 24 hours a day, 364 days a year, to 85 million homes, and ranks as the number two television network in terms of revenue (#1 in home shopping networks), with sales in 2004 giving a net revenue of $4.1 billion.
QVC UK
The UK arm of the company operates from two venues in the United Kingdom. Corporate headquarters and broadcasting facilities are located at Marco Polo House, in London, while call centre and distribution facilities are situated in Kirkby, on Merseyside. Prior to 1998, these facilities were based at the Albert Dock in Liverpool.
QVC UK runs two small outlet stores, one in Warrington, the other in Shrewsbury.
QVC—The Shopping Channel broadcasts live 16 hours a day (although the channel runs 24 hours a day), 364 days a year, to 15.4 million viewers of cable, satellite, and digital terrestrial services in the UK. Satellite also relays the channel across much of mainland Europe. Retail sales for the year 2004 reached £265 million. Also there is a QVC active service that runs on cable, satellite, and digital terrestrial in the UK.
QVC Germany
QVC Deutschland GmbH, incorporated in Düsseldorf, runs call centre operations from two sites in Bochum and Kassel, whilst distribution is handled from a dedicated site in Hückelhoven.
QVC Germany broadcasts live 24 hours a day, 364 days a year (off-air Christmas Day), with 33.8 million households reached. In 2004, sales of $643 million were made.
QVC Japan
QVC Japan is based in Makuhari, where its corporate headquarters and call center facility are located. Distribution facilities are located in Sakura City.
QVC Japan broadcasts live 24 hours a day (as of June 2004—previously running for 15 hours—making it the first broadcaster in Japan to run a 24-hour live service), to 7.5 million homes, with $416 million sales in 2004.
Products
QVC carries a large range of products, and offers a 30-day money-back guarantee on all of its items. Items are presented by hosts, who may be assisted by guests—typically, people who work for the item's manufacturer or an expert on the subject. Each item is identified by a unique item number, allowing for easy identification when ordering. In commonality with many of its rivals, QVC offers one product at a reduced price for that day only—the Today's Special Value commonly referred to as TSV. In the US, the Today's Special Value was launched on August 11, 1987 with a 30" long wave necklace. When a TSV sells out, there are several "One Time Only" items good only on certain shows the rest of the day.
QVC offers products from a wide variety of famous brands and well-known celebrities. Joan Rivers and Uri Geller are amongst those whose products are demonstrated on-air.
QVC's flagship brand is Diamonique, a simulated gemstone exclusive to the company (having acquired manufacturing facilities, proprietary technology, and trade name rights from MSB Industries, Inc. in 1988).
QVC's most popular brand of apparel in the US is Denim & Co; others include Dialogue, Sport Savvy, citiknits, and Susan Graver Style.
The most popular beauty brand on QVC in the US is Bare Escentuals, followed by philosophy beauty and Laura Geller Make-up Studio. On June 15, 1998, Models Prefer Color Cosmetics, QVC's first exclusive color line, was introduced. Other beauty brands include Le Mirador Skin care, smashbox cosmetics, Joan Rivers beauty, Peter Coppala Hair Care, Dessert Beauty, and Jonathan Product Salon Hair Care by Jonathan Antin.
QVC usually has many types of programming in one day, but sometimes a day has a single theme. Such 24-hour events include Fashion Day, Big Bonanza Silver Day, Now You're Cooking Day, and others.
Once a year, QVC broadcasts FFANY Shoes on Sale with designer and brand name shoes at half the price, benefiting breast cancer research.
Competitors
With the continued growth and popularity of home-shopping television, more and more companies are emerging to challenge QVC's position. In the United States, the Home Shopping Network and ShopNBC are QVC's primary competitors, while QVC UK competes with several other channels, such as bid tv (and its sister channel price-drop tv), Ideal World, Screenshop, and others.
Incidents
QVC has played host to a few embarrassing incidents that were televised live to viewers and can be easily found on numerous media websites. These incidents include:
- a ladder demonstration in which a demonstrator falls while descending from the product
- a testimonial where a man claims his PC is excellent for viewing porno
- former U.S. host Steve Bryant, now the program director for WCOJ AM radio in West Chester accidently cutting his fingertip while on the air doing a cooking product show.
Trivia
- US host Rick Domeier is an actor, perhaps best known for appearing in the 1987 horror film Evil Dead II.
- US host Lisa Robertson was Miss Tennessee 1989.
- UK host Julia Roberts TV career kicked off in 1979 with parts in Citizen Smith and Dr. Who.
- QVC's Studio Park complex used to be the headquarters of the now-defunct Commodore International computer company, best known for the Commodore VIC-20, Commodore 64, and Commodore Amiga lines of home computers.