Procter & Gamble Tests Online Store to Counter Retailer Assortment Cuts
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January 19, 2010
The Procter & Gamble "eStore" goes direct to consumers in an attempt to counter declining sales and retailers who are reducing product assortment and brand variety, in many cases to make way for their own store brands, according to a Wall Street Journal report.
P&G spokeswoman Tressie Long described the online stores as more of a "learning lab" to study consumers' online buying habits, rather than a revenue driver. The online store - at www.pgestore.com -- is piloting with 5,000 consumers and will be operated by PFSweb, an e-commerce service provider, which will also determine pricing on the site, according to the report.
Initially, only select brands such as Tide, Pampers and Olay will be available on the site, which will not be open to the public until the spring. All order carry a $5 flat rate shipping fee, no matter how large or small the order.
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