JL Audio’s Shopatron Heating Up

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JL Audio says its retailer program with Shopatron has been gaining steam over the past nine months, with one retailer claiming it sold $14,500 worth of JL Audio product in close to one month under the program.
Audio Logic Car Audio, Hollywood, FL was able to bring in $14,000 worth of JL Audio business in a short period using the Shopatron program, said JL Audio president Andy Oxenhorn. The store president Mike Dixon, said it was actually $14,500 in just about one month and he did $40,000 in JL Audio business under the program last year.
Under the program, Shopatron oversees fulfillment for sales on JL Audio’s web site. It does this by arranging that the closest JL Audio dealer is offered the sale. The only catch is that dealers must log on with Shopatron and check for Shopatron leads. If they don’t, the lead goes to someone else.
JL Audio says it is the first car audio/audio company other than Panasonic to use the Shopatron service. “It’s been about a year. We’re learning…so far I’ve been pleased. It was a little slow at first but our sales from Shopatron have been doubling lately,” said Oxenhorn. JL Audio also pays for keyword searches. When someone does an Internet search for “subwoofer,” for example, JL Audio’s web site comes up in a top slot in the search results. Jeremy Dawson of JL Audio said, “We’ve seen a 7x return in online sales revenue from our investment in Google AdWords since we started using the program. This combined with the implementation of ship-to-store functionality has definitely boosted sales.”
Oxenhorn reminds retailers “You have to play. You have to go online in the mornings and check the bids. Some haven’t gotten in the habit of doing that yet.” Under the program retailers “bid,” stating they have the product in stock. The Shopatron service then automatically gives the sale to the closest retailer stocking the item. You’re not bidding on price, just registering that you have the product in stock.
The catch says, Audio Logic’s Dixon is that now that more retailers are using Shopatron, he’s winning less of the bids. ”I was winning bids from Rhode Island, Tennessee and Texas. I’m in South Florida. All you have to do is be the closest dealer [to the purchaser] and have the product in stock.” Dixon says he goes on line to check bids two or three times a day.
“At 1:30 eastern time they close out all transactions and find the closest to the end consumer…we box it and ship it to the customer and twice a month we get a payout from Shopatron,” said Dixon. Margins are MAP (minimum advertised price) minus a small percentage for Shopatron. “From a dealer’s standpoint, if you walk through the door, I’d spend quite a bit of time handling each customer. For me to go online and put in a bid and pack a box, and get paid close to MAP, I’m ecstatic.”

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