QVC Buys HSN in $2.1 Billion Dollar Deal
I was pretty shocked but not surprised to hear QVC purchased HSN for $2.1 billion dollars. The two brands have a total of 23 million customers which makes for around 320 million packages that they ship annually.
By combining the two networks hope to grow a larger online audience as many cable cord cutters have turned away from TV and focus more of their attention online and both QVC and HSN hope to gain a larger online following.
Apparently the two networks will still operate separately but I’m unsure for how long. I personally hope they continue to remain separate entities after the merge because I think each has unique offerings, sales, and ways of doing things. I’m pro both networks and shop from each of them although, I’m probably a little more of an QVC shopper than I am an HSN one. But HSN isn’t a slacker with some of their deals and the brands they offer (Lord knows, I could live without access to Huggable Hangers).
In a letter to employees, QVC’s cheif executive Mike George, said:
“We will be able to operate more efficiently, by combining technology platforms where appropriate, leveraging our joint service and supply chain networks, eliminating redundant corporate and support services, and negotiating volume based discounts with our partners,”� he wrote.
Of course, your ears probably perked up at discounts. I know mine did.
I hope the merger makes for exciting new changes from QVC and HSN. Together, I’m sure they’ll be stronger and able to offer us more new and exciting items.
What do you think of this merger?
Do share!