SkyMall

Last updated
SkyMall
Company type Subsidiary
Industry E-commerce
Founded1990;34 years ago (1990)
Founders Bob Worsley
Headquarters
Edison, New Jersey
,
United States
OwnerC+A Global
Website www.skymall.com

SkyMall is a specialty publishing firm headquartered in Ridgefield Park, New Jersey, [1] best known for once publishing a self-titled in-flight publication, SkyMall, that at one point had an annual circulation of approximately 20 million copies distributed in airplane seat pockets. At one point, it reached 88% of US airline passengers. SkyMall is a multi-channel, direct marketer offering products through direct marketers and manufacturers through its SkyMall catalogue and website, skymall.com.

Contents

In January 2015, the company filed for Chapter 11 bankruptcy protection. [2] In April 2015, it was purchased in bankruptcy court by C&A Marketing. [3]

History

SkyMall, Inc. was founded in 1990 by Bob Worsley [4] Originally, it intended to "get customers to order within 20 minutes of landing and have the goods waiting for them on arrival", before it switched to home delivery. [2] Same-day delivery required SkyMall to operate its own warehouses near selected airports. [5]

Shortly after launching, the company purchased contracts from another company that allowed it to offer catalog merchandise to travelers flying U.S. air carriers. This move, which did not receive the support of all of the founders, required a significant shift in SkyMall's focus and operations, ultimately forcing the company to abandon same-day delivery and nearly bankrupting it. [6] The company now offers goods from other companies' catalogs for drop-ship to the customer via third-party transport firms.[ citation needed ]

The company drastically changed its business model around 1993. Instead of stocking the merchandise itself near airports, SkyMall began leasing sections of the magazines to various distributors which customers would then order from directly. [7] Smithsonian magazine has credited this decision with saving the company.

Since 1999, SkyMall ownership has "bounced around among several private-equity companies", [2] including by Najafi Companies, the largest private equity firm in Arizona in 2012. [5] In 2009 SkyMall's website "generated approximately $80.5 million in revenue", making it the 185th largest e-commerce website by revenue. [5]

On May 17, 2013, SkyMall merged with Xhibit Corp, described as a new "marketing software and digital advertising company that trades on an 'over-the-counter' exchange where equity shares of small companies can be bought and sold". [5] In less than two years, SkyMall, LLC and several affiliated companies, including its parent company Xhibit Corp., voluntarily filed for Chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of Arizona on January 22, 2015. [8]

On April 1, 2015, SkyMall was purchased out of bankruptcy court by C&A Marketing for $1.9 million; the new owners plan to re-launch the catalog with a new product selection that will partially downplay the brand's association with novelty items in favor of "more of the innovative, fun, cool products that people are looking for, but that are still in keeping with the DNA of SkyMall." [9] [10]

Products

Although SkyMall started as a conventional retailer, it was quickly realized that consumers weren't as likely to buy them as they were to buy "unconventional items". [7] One of the top-selling items upon the company filing for bankruptcy, for instance, was a Yeti statue. [7] The Washington Post described the catalog's offerings as "whimsical". [11]

Departments

Participating stores

Airlines with SkyMall on flights

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References

  1. ↑ "Contact Us". SkyMall. Archived from the original on December 6, 2010. Retrieved January 19, 2010.
  2. 1 2 3 Kim Bhasin (January 23, 2015). "SkyMall Is Earthbound, but Its Legacy of Nutty Gifts Lives On". Bloomberg Businessweek. Archived from the original on January 24, 2015.
  3. ↑ Lynn, Kathleen (April 2, 2015). "C&A; Marketing of Ridgefield Park buys SkyMall brand". NorthJersey.com. Archived from the original on 2015-07-08. Retrieved 2019-09-14.
  4. ↑ "About SkyMall". SkyMall. Archived from the original on 2007-07-20.
  5. 1 2 3 4 Dhar, Rohin (June 12, 2013). "SkyMall: The Strange Story of America's Most Delightfully Weird Catalogue". The Atlantic.
  6. ↑ "Opinion: What really killed SkyMall". Los Angeles Times. 2015-01-28. Retrieved 2020-04-08.
  7. 1 2 3 Lovejoy, Bess. "How SkyMall Captured a Moment of Technological and American History". Smithsonian Magazine. Retrieved 19 March 2016.
  8. ↑ "SkyMall Orders Up a Bankruptcy Filing". Commercial Bankruptcy Investor. Archived from the original on January 23, 2015. Retrieved January 23, 2015.
  9. ↑ "Company buys SkyMall for $1.9 million, will make "dramatic changes"". Ars Technica. 2015-05-30. Retrieved 31 May 2015.
  10. ↑ "Still Need A Lawn Yeti? Good News — SkyMall May Be Cleared For Relaunch". NPR . April 1, 2015. Retrieved April 20, 2015.
  11. ↑ Ferdman, Roberto A. (23 January 2015). "SkyMall, the wacky in-flight catalogue, is filing for bankruptcy. How did it last this long?" . Washington Post. Retrieved 11 April 2019.
  12. 1 2 "Airlines Pull SkyMall from Planes". The Hollywood Reporter . 23 January 2015.
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