New York–Kozmo.com, an Internet-only convenience store/delivery service, is Internet-only no more. On Feb. 23, Kozmo announced that it had laid off 60 employees, or 4% of its staff. At the same time, Kozmo is dropping the “.com” from its name and preparing to launch a print catalog. The book is slated to drop in April to about 400,000 customers and prospects in the nine cities in which it currently provides one-hour delivery. Kozmo plans to mail 4 million catalogs by the end of the year.
The 24-page book, which also promises one-hour delivery, features the same items as the Website: entertainment, meals, groceries, drugstore items, and gifts. Orders from the catalog can be made only by the toll-free number. In fact, says Kozmo spokesperson Stephanie Cohen Glass, the catalog’s main purpose is to promote the toll-free phone number, which is also listed on the Website.
Already, 15% of business is done by phone, Glass says. A $10 minimum order is required for ordering by phone as opposed to the online minimum order requirement of $5. Kozmo.com has an average order size of $25.