Qurate Retail Inc.

Sector: E-commerce Countries of operation: China, Germany, Italy, Japan, Poland, the UK and the US Key product categories: Beauty, electronics, fashion and home Annual Metrics [caption id="attachment_151284" align="aligncenter" width="700"] Fiscal year ends on December 31
*Trailing 12 months ended March 31, 2022[/caption]   Summary Founded in 1991 and headquartered in Douglas County, Colorado, Qurate Retail (known as Liberty Interactive until 2018), is a US video commerce company dedicated to providing consumers with a “Third Way to Shop,” beyond transactional e-commerce or traditional brick-and-mortar stores. Its primary business segment QVC (including HSN, QVC International and QVC US) is the world’s largest video commerce platform, selling various consumer products through mobile applications, television channels, websites and video platforms to 380 million households across seven countries. The company operates flash sales e-commerce site Zulily, which it acquired in 2015. Qurate acquired HSN in late 2017, resulting in year-over-year revenue growth of 35.2% in 2018. Company Analysis Coresight Research insight: Following disappointing sales in 2019, Qurate Retail returned to growth as the pandemic accelerated the shift toward digital shopping. As a pioneer in the sector and the world’s largest video commerce company, Qurate Retail operates with sufficient scale and resources to expand—by providing innovative product offerings and increasing its presence across different platforms. Already popular in China, livestreaming e-commerce has started to gain momentum in the US—and we believe Qurate Retail’s aim to shift from linear TV shopping to an interactive video-centric ecosystem should help the company capitalize on this trend. In the highly competitive e-commerce environment, Qurate Retail continues to make efforts in content innovation, aiming to reshape its video shopping experience. The company has continued to build an extensive and innovative digital ecosystem, significantly expand its brands and product categories, and create unique content and customer experiences to drive customer longevity and engagement. In March 2022, Qurate announced a restructuring of the organization and changes in executive leadership with the aim of strengthening its individual brands—QVC and HSN—giving each more autonomy and ability serve their unique customer bases.

Tailwinds	Headwinds
Opportunities to partner with video streaming and social platforms, and shift toward digital video shopping Digital formats increasingly drive consumers’ shopping journeys Product selection able to change rapidly based on current consumer demand Leading position in the video commerce market Higher inventory turnover than its major competitors	Heightened competition in the e-commerce environment More social and video platforms are launching video shopping features Decline in linear TV viewership Increased freight and labor costs Ongoing supply chain disruptions due to COVID and Russia-Ukraine War Operational disruptions due to fire at NC fulfillment center, Qurate’s second-largest fulfillment center

  Strategy Qurate Retail has outlined the following key focus areas to achieve long-term growth: 1. Provide compelling product offerings

• Expand brand partnerships to offer a varied product assortment at attractive price points to trigger impulse buying
• Develop proprietary and exclusive offerings and tackle underpenetrated verticals
• Continue to improve product flow through supply chain optimization

2. Evolve into a digitally driven video-centric ecosystem

• Extend partnerships with major streaming providers and video and social platforms
• Work directly with TV manufacturers to embed linear streams
• Offer seamless purchasing experiences on the platform

3. Acquire and retain high-value customers

• Use storytelling to build trusted relationships and fuel customer engagement
• Leverage influencers and customer ambassadors to establish a dynamic community
• Increase internet personalization using consumer data

4. Add growth

• Expand in new international markets
• Establish new concepts and business models

Revenue Breakdown (FY21)   Company Developments

Date	Development
June 9, 2022	QVC joins FuboTV, a global leading live TV streaming platform.
March 14, 2022	Qurate announces Terry Boyle as President & CEO of Zulily.
March 2, 2022	Qurate announces executive leadership changes: Mike Fitzharris as President of QVC, US; Rob Muller as President of HSN; and Mary Campbell as President of a new business unit created to accelerate Qurate’s efforts in streaming and other live commerce capabilities.
December, 18, 2021	Fire destroys QVC distribution center in Rocky Mount, NC and is permanently closed.
November 15, 2021	Qurate announces that it has issued a semi-annual interest payment and a regular additional distribution to the holders as of November 1, 2021, of the 4.0% Senior Exchangeable Debentures due 2029 issued by its wholly owned subsidiary, Liberty Interactive.
November 1, 2021	Zulily Partners with Toys for Tots targeting children and families.
October 28, 2021	QVC announces the refinancing of its senior secured credit facility with a new amended and restated senior secured credit facility on October 27, 2021.
September 27, 2021	QVC and Refinery29 team up on size-inclusive fashion and body positivity.
August 19, 2021	QVC launches live shopping experiences on SLING TV.
July 13, 2021	Qurate announces that David Rawlinson II has been appointed next President and CEO.
June 30, 2021	QVC and HSN Streaming Service launches on Comcast’s Xfinity X1 and Xfinity Flex.
April 19, 2021	QVC announces a collaboration with actress and businesswoman, Candace Cameron Bure, to launch her eponymous fashion line, Candace Cameron Bure.
April 1, 2021	QVC expands clean beauty assortment with Danny Seo, Founder and Editor-in-Chief of magazine Naturally, bestselling author, Emmy Award-winning TV host and designer.
March 31, 2021	Qurate announces that David Gerbitz is appointed as Qurate Retail Group’s Chief People Officer.
February 9, 2021	QVC and HSN announce plans to introduce more than 90 emerging brands to their platforms, two-thirds of which have self-identified as either women-owned or minority-owned.
January 26, 2021	QVC debuts on YouTube TV, becoming the only livestreaming shopping channel on the live TV streaming service.
November 30, 2020	QVC and HSN launch on free television service Pluto TV to provide livestream shopping experiences to over 28 million viewers across the US.
November 11, 2020	QVC collaborates with fashion designer Jason Wu to launch his size-inclusive fashion line exclusively at QVC.com and on the QVC app.
November 2, 2020	HSN launches reality TV star Patricia Altshul’s new, exclusive home décor and textile collection.
October 26, 2020	QVC and HSN launches on LG’s new livestreaming video commerce marketplace app Shop Time.
October 20, 2020	QVC launches a new line of kitchenwear with Good Housekeeping and chef Curtis Stone’s kitchen product company Foodfight.
September 30, 2020	Qurate Retail appoints Ryan McKelvey as the President of Cornerstone brands, which comprises four leading home and lifestyle brands.
September 22, 2020	QVC announces the completion of the redemption of its outstanding 5.125% Senior Secured Notes due in
August 28, 2020	QVC teams up with celebrity makeup artist Mally Roncal to create customized video content for US media company TheSkimm.
July 1, 2020	HSN launches its exclusive pillow collection with reality TV show star Craig Conover.
June 18, 2020	HSN joins forces with wellness influencer Britney Vest to unveil an exclusive body-positive athleisure clothing line.
May 4, 2020	Qurate announces that Ian W. Bailey, former executive at Abercrombie & Fitch Co. joins the company as Senior Vice President of Communications and Community.
April 23, 2020	HSN launches its new home
April 23, 2020	HSN launches its new activewear brand,

  Management Team

• Gregory B. Maffei—Executive Chairman
• David L Rawlinson II—President and CEO
• Brian J. Wendling—Chief Accounting Officer and Principal Financial Officer
• Renee L. Wilm—Chief Legal Officer and Chief Administrative Officer
• Albert E. Rosenthaler—Chief Corporate Development Officer

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Source: Company reports/S&P Capital IQ