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94 Part 1 Introduction

Figure 2.17 Firebox (www.firebox.com)

Initially a ‘pureplay’ Internet-only business, Firebox is now a multi-channel retailer, providing a mail-order service
via its catalogue, corporate products (sales promotion and staff incentives for Yahoo!, Oracle, Five, Siemens and

Abbey and wholesale and trade suppliers) who distribute niche products to other online and offline e-retailers.
Firebox received £500,000 of investment from New Media Spark, with further funding from private
investors. Sales have grown 156% a year from £262,000 in 2000 to £4.4m in 2003 and £8 million in 2004 from
175,000 orders. In the same year, it received 4.5 million page impressions and 680,000 monthly unique visi-
tors, according to the Nielsen//Netratings panel (eSuperbrands, 2005). Firebox.com became profitable in 2001.
One of the reasons for the success of Firebox is the way it has embraced traditional channels to market.
Silicon.com (2004) reports that head of PR Charlie Morgan explained:

In a market place that was fast becoming cluttered there was a strong need to both expand the customer
base and ensure that Firebox itself grew as a brand. By building in a programme of catalogue drops,
Firebox aimed to recruit many new customers who had not thought of the internet as a purchasing
medium, increase turnover and of course grow the brand.

At Christmas 2003, Firebox.com sent out more than 1 million catalogues, resulting in 10,000 new customers
which the company regards as an impressive return, since several hundred thousand of these catalogues
were sent to already-existing customers. During a three-month promotion the catalogues drove more than
£600,000-worth of sales.
Source: Company web site, About Us, eSuperbrands (2005) and Silicon.com (2004). With thanks to www.firebox.com