Network Strategy Goes Healthy

[Sydney, Australia, May 25, 2000] – Online retail network theSpot has unveiled the third site in
its six-part merchant strategy, called HealthSpot.com.au.

The health-focused site is the latest move by theSpot to target niche
markets. The company has already developed sites for the toy and beauty
markets.

HealthSpot’s inventory is divided into three main categories, natural
health, medicine cabinet and personal care.

theSpot has also designed the site as an information resource, providing
more than 130 fact sheets on health as well as various ailments, written by
pharmacists, general practitioners and naturopaths. The company has
included this information repository as a purchasing aid, as well as an
online resource.

Although health remains an area yet to be fully exploited online in
Australia, theSpot site has been encouraged by a US Jupiter Communications
Online Health Forum report, that indicates the online health market will
reach AUS$15.8 billion (US $10 billion) by 2004.

HealthSpot is a clear move by theSpot on the advertised turf of one of
its main competitors, online department store dstore. dstore’s own inventory has
included health products for several months, alongside areas such as
sporting goods, books, CDs, DVDs and videos, and toys.

The launch of HealthSpot follows theSpot’s merger with New Zealand
retailer FlyingPig.co.nz. As part of this merger, theSpot entered a
strategic alliance with offline and online book retailer Aungus & Robertson Bookworld,
to create a clicks and mortar arrangement which is yet to launch.

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