On-line shopping wave hits Canada

Discount Store News, Feb 23, 1998 by Jim Fox

TORONTO -- Canadian retailers are turning to the Web to entice shoppers across Canada's vast geographic boundaries -- even those who live miles from the nearest store.

* T. Eaton Co. Ltd. jumped into the Web pool last fall, and so far it has used its site (http://www.eatons.com) to provide customers with gift-giving ideas for Christmas and Valentine's Day.

* Calling it a "world-first in retail marketing," Canadian Tire Corp. Ltd. sends out weekly the "eFLYER," a customized electronic version of its printed shopping flyer.

After launching its eFLYER last September, Canadian Tire expanded the services on its home page (http:www.canadiantire.ca).

Browsers can now apply for the company's insurance, auto club membership, long-distance savings plan and its Canadian Tire Card. Marco Marrone, customer development vp for Canadian Tire Acceptance, said the company will continue to enhance the site with new information and services.

"Making these products available via the Internet was a priority for us because we want to continue to improve the accessibility of our products for our customers," he said.

In the first month on line, more than 20,000 subscribers signed up for delivery of the eFLYER, said Karl Breunjes, sales and marketing director.

When shoppers visit the Web site to subscribe, they are asked for their name, e-mail address and postal code. They are then invited to select product categories of interest, such as automotives, hardware, home improvement and sports products.

Every week, they receive a personalized e-mail flyer tailored to include price and information on products exclusively in their expressed areas of interest.

"Canadian Tire has developed an entirely new concept in one-to-one retail marketing," said Mike Arnett, divisional vp, advertising.

"The Canadian Tire eFLYER provides additional product and price information to our customers, as well as the ability to generate a shopping list and qualify for special promotional offers designed to generate traffic at the local Canadian Tire store," he said.

The e-mail flyer was developed by Canadian Tire marketing specialists, Ernst & Young and Sierra Creative Communications Inc. consultants.

Subscribers can submit questions and comments on a feedback form provided on the site and can be removed from the list at any time.

Canadian Tire, the country's largest hard lines retailer with 428 associate stores, continues to deliver printed flyers to 9 million households per week.

Last summer, Wal-Mart tapped into the power of the Internet, urging customers to access the cybershopper through Wal-Mart billboards on more than 100 Web sites from Mount Pearl, Newfoundland, to Iqaluit, Northwest Territories.

While on line, shoppers can review merchandise, including family fashion, household essentials and seasonal items, from the Wal-Mart cyberflyer in English and French.

If they want to buy, customers provide their name, postal code and e-mail address with each order, and the cybershopper calculates sales taxes for the applicable market. Orders are confirmed through e-mail and delivered COD by Canada Post.

According to Statistics Canada, there are about 250,000 people connected to the Internet among the 800,000 residents of the country's Northern region.

"Wal-Mart's cybershopper program will allow us to offer more Canadians better prices on the products they need most," said David Ferguson, president and ceo, Wal-Mart Canada Inc.

The Eaton's site has hundreds of designer fragrances, perfumes and bonus offers as well as information about special in-store events.

Visitors can also explore the archives to learn about Canadian icon Timothy Eaton, who opened his first store in 1869.

There is a store finder, a place for comments, financial reports and news releases, as well as a toll-free phone number to call to place orders off line.