To: Mike M who wrote (27912 ) 11/23/1998 6:33:00 PM From: H James Morris Respond to of 164684
NEW YORK, Nov 23 (Reuters) - Nine leading specialty online retailers on Monday said they formed a network linking each online store to reach a combined audience of seven million to eight million -- just in time for the holiday buying blitz. Among the nine, computer products retailer Cyberian Outpost Inc. <COOL.O> surged more than 65 percent to $23.75, up $9.375 on the day, in Monday afternoon trading. music retailer CDnow Inc. <CDNW.O> rose $1.19 to $13.50 and travel services provider Preview Travel Inc. <PTVL.O> was up $2 to $17.06. The shopping network, dubbed ShopperConnection, also includes toy store eToys, brokerage Datek Online, garden equipment site Garden.com, florist PC Flowers & Gifts, movie-seller Reel.com Inc. and wine and gift-shop Virtual Vineyards. The network is designed to buttress the retail group against expansion by online shopping giant Amazon.com Inc. <AMZN.O>, which two weeks ago expanded into videos and holiday gifts from its roots as the top online book store. CDnow, which faces direct competition from Amazon.com in the online music business, spearheaded the project. "Amazon.com is a very healthy thing on the Internet because it has gotten so much visibility," said Bob Saltzman, CDnow's vice president of strategic development, rejecting the idea the network was a reaction to the online bookseller's expansion. Still, Saltzman noted that ShopperConnection could help the companies to take some of the spotlight, and dollars spent on the Internet, away from Amazon.com. The new network tried to distance itself from the shopping mall image. Critics had found that earlier difficult-to-navigate "virtual shopping mall" sites could be as stressful as a journey to the real thing. Saltzman says the network is different from a mall because it is a link of some of the strongest retailers solely working the Web. He also points out that the network is not, in itself, an online destination point. Rather, the customer will first log onto a favorite retail Web site and be given a chance to link to others only after making an initial purchase. "If you make a purchase, when you arrive at the order confirmation page, there will be a link to ShopperConnection," Saltzman said. "It's at the end they will see the link; we don't want to take customers away from what they are doing."
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