Motley Fool
Do Retailers Finally Get It?
Friday December 9, 10:15 am ET 
By Rick Aristotle Munarriz 

Is this the year that retailers finally harness the power of the Internet?
Sure, stores such as Motley Fool Stock Advisor recommendation Amazon.com
have been getting it for years. The online retailing giant knows how to mine
its customers for data and turn user input into compelling content.

However, traditional retailers seemed to spend the past few years
approaching the Internet as simply a threat that must be muted -- then
buried. That hasn't been the case this year; retailers are taking brilliant
risks in using the Web to market both their online stores and their offline
strongholds.

Circuit City came through last week with five-hour online sales, and Target
has come on strong with attractive free shipping specials. It doesn't
surprise me to see companies such as Wal-Mart and Target crack the list of
the five most popular online retailers. The only thing that surprises me is
that it took them this long to get there.

Of course, some are also taking a brilliant approach to driving traffic in
the real world, too. For the first dozen days in December, Toys "R" Us has
been sending out daily emails with special printable coupons that are good
only at the physical stores. Even Carnival Cruise Lines is playing up the
"12 days" theme to deliver daily cruise deals in a manner that would make
Travelzoo blush.

The Internet is finally being embraced as the brilliant, cost-effective
marketer that it was meant to be. Sure, the wider spread of information and
one-click distance from every single rival forces honest markups, but who
said a little transparency wasn't good for business in the long run?

Even companies such as American Express are getting in on the creative
merchandising. Well done, retailers. I can only wait and see what retailers
have lined up for the 2006 holiday season. 

source: http://biz.yahoo.com/fool/051209/113414131505.html?.v=2