More Retailers Singing the Praises of Selling Online

ValueVision International Inc. and Spiegel Inc.’s Eddie Bauer on Tuesday joined the chorus of retailers on the Internet to report a surge in holiday sales.

ValueVision, which sells everything from housewares to designer fashions, saw its shares climb 82% after it said holiday-season sales on its Web site and home-shopping television network soared. The company said TV sales were up 70%. It didn’t give a figure for Internet sales, but said they were increasing at a faster rate than TV sales.

Eddie Bauer said it expects fourth-quarter revenue from its Internet site to more than triple after Eddiebauer.com generated record holiday sales, surpassing expectations, spokeswoman Judy Neuman said.

Women’s sweaters and home decorations were among the best-selling items on Eddiebauer.com, which was introduced in August 1996 and had its first profitable year in 1997, Neuman said.

Redmond, Wash.-based Eddie Bauer will work to turn new Internet customers into regular shoppers with programs such as targeted e-mail and online advertising, Neuman said.

Several online retailers have reported better-than-expected holiday sales as people flocked to Web sites even for last-minute gifts. Projections for Internet holiday sales this year range from $2.3 billion to as high as $5 billion, up from last year’s $1.1 billion.

Minneapolis-based ValueVision climbed $5.13 to close at $11.38 in heavy Nasdaq trading. The company’s shares have almost tripled this year.

“The market is perceiving that ValueVision will become more heavily focused on the Internet,” said analyst Steve Monte at Security Capital Trading.

The company is expected to partner with other Internet companies, including online directories such as Yahoo Inc., to drive more customers its way. ValueVision’s ability to promote its Internet site on its TV show also will help attract more online users, analysts said.

Shares of Spiegel, which also sells products online, rose $2.19 to close at $7.69 on Nasdaq.