your sanity . type subsidiary founded 1994 founder daniel kohn roger lee guy h. t. haskin eiji hirai parent trilegiant website netmarket netmarket is an online marketplace owned by trilegiant that sells various goods ranging from electronics to jewelry . it was founded in 1994 by daniel kohn and roger lee both former london school of economics students and by guy h. t. haskin and eiji hirai from swarthmore college . the new york times has credited the company with performing the first secure retail transaction on the internet . history edit netmarket was initially conceived by daniel kohn while he was studying at the london school of economics after finishing an honors degree in economics from swarthmore college . he recruited classmate and yale graduate roger lee to become president of the company . the company s management team was rounded out by guy h. t. haskin and eiji hirai both from swarthmore and both hired for their technical skills . the firm s initial headquarters was a house in nashua new hampshire . it started out selling goods such as cds and books for various offline stores using non digital payments . 1 on august 11 1994 netmarket sold ten summoner s tales a cd by sting to phil brandenberger of philadelphia using a credit card over the internet . the new york times characterized this as ... apparently the first retail transaction on the internet using a readily available version of powerful data encryption software designed to guarantee privacy . 1 the encryption used in the transaction was provided by the pretty good privacy pgp program incorporated into the x mosiac browser . the author of pgp phil zimmermann called the transaction an important step towards the creation of digital cash . 1 netmarket was soon purchased by cuc international and despite expectations to the contrary continued to be successful . while general online malls were superseded by specialty shops and forced to close netmarket continued to expand the range of its inventory . in 1997 the chairman of cuc estimated the company could fill approximately 20 % of a family s retail needs with that number going up to 95 % in three years . the company was also profitable estimating doing more than 1 billion in sales in 1998 . the economist called netmarket s business model the third wave of online retailing one site providing goods found in an entire mall but focused on the efficiency and low prices provided by specialized retailers . 2 also in 1997 cuc paid america online 50 million to set up and promote netmarket s services on aol s shopping channel . 3 in 1999 netmarket now owned by cendant had its ordering system breached due to a bug in its software . customer names addresses and phone numbers could have been shown publicly along with order details for as many as 983 000 orders stretching back to june 1998 . 4 netmarket was spun off by cendant in 2001 under a new parent company trilegiant . 5 6 references edit a b c lewis peter august 12 1994 . attention shoppers internet is open . new york times . retrieved november 29 2014 . the once and future mall internet shopping . . the economist . november 1 1997 . retrieved november 25 2014 via highbeam research . subscription required help . tedesco richard june 16 1997 . aol s mall grows with cuc deal . broadcasting & cable . retrieved november 25 2014 via highbeam research . subscription required help . wolverton troy may 10 1999 . netmarket exposes customer order data . cnet . retrieved november 29 2014 . yovovich b.g. october 15 2004 . what we re learning about economy from e commerce . chicago sun times . retrieved november 25 2014 via highbeam research . subscription required help . peters kurt july 24 2001 . trilegiant reduces unfilled and back orders with web ordering system . internet retailers . retrieved november 29 2014 . external links edit official website retrieved from https en.wikipedia.org w index.php title netmarket & oldid 635952063 categories commerce websitesinternet properties established in 1994american websitesonline companieshidden categories pages containing links to subscription only contentuse mdy dates from november 2014 navigation menu personal tools not logged intalkcontributionscreate accountlog in namespaces article talk variants views read edit view history more search navigation main pagecontentsfeatured contentcurrent eventsrandom articledonate to wikipediawikipedia store interaction helpabout wikipediacommunity portalrecent changescontact page tools what links hererelated changesupload filespecial pagespermanent linkpage informationwikidata itemcite this page print export create a bookdownload as pdfprintable version languages add links this page was last modified on 29 november 2014 at 22 45 . text is available under the creative commons attribution sharealike license ; 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