By Karen Talley
Of DOW JONES NEWSWIRES
NEW YORK -(Dow Jones)- Wal-Mart Stores Inc. (WMT) said Thursday it is now offering its top 10 pre-order DVD movie titles at just $10 each online, signaling retailers continue to see the Internet as a major shopping vehicle.
While retailers reported mixed results for October same-store sales, those that break out Web purchases saw a significant surge in Internet sales, and Andrew Lipsman, an analyst at ComScore Inc. (SCOR) said online retail sales are expected to show some growth this year after their 3% slip in 2008.
Wal-Mart's move, which follows the retail giant offering best-selling books at very low prices, "once again emphasizes our low-price commitment online," Wal-Mart said in a news release. Wal-Mart also will be offering free delivery for its entire assortment of DVD and Blu-Ray titles, excluding box sets.
The online emphasis is occurring as retailers' sites, which initially served more as marketing tools, are becoming entrenched as mainstream destinations. Web sites are even more important right now because retailers are still having trouble attracting business through their traditional channels, especially malls. Many retailers are trying to make their sites more appealing by offering free shipping.
Retailers' online efforts appear to be resonating with consumers who are doing more than pre-holiday sleuthing on the Web.
"People are not just browsing and doing price comparisons, they are making purchases," said Janet Hoffman, global managing director of retail for Accenture (ACN), a software and consulting firm. "That bodes well for the holidays."
Macy's Inc. (M) posted a 0.8% drop at stores open a year or more in October, poorer than analysts' expectations for a 0.1% decline. Things would have been worse without the inclusion of Internet sales, which jumped almost 35% for the month. Macy's declined to provide a dollar amount for Web sales, which are from its namesake store and Bloomingdales unit.
The Internet and stores "are not meant to be mutually exclusive," said Macy's spokesman Jim Sluzewski. "Our goal is for the Internet to drive customers to our stores and stores to use the Internet to help customers."
Macy's has been rolling out a program where stores are accessing Macy's Web site to find and deliver merchandise that is out of stock or not available at a particular location.
Customers can also access the Web at home to find the Macy's nearest to them that is carrying particular items they want.
Children's Place Retail Stores Inc. (PLCE) is another retailer whose online business is aiding operations. The kids' retailer said on a conference call Thursday that comparable store sales fell 2% last month, but online revenue, which is factored into the overall rate, jumped 36%.
-By Karen Talley, Dow Jones Newswires; 212-416-2196; karen.talley@dowjones.com