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Candid Camera

Integrating a webcam into his site has helped this scuba retailer reel in extra sales.

Webcams generally let viewers catch a glimpse of the happenings at exciting locations such as Times Square and stadium construction sites. In Dallas, however, Larry Dague, 48, installed a webcam in his scuba equipment shop that quickly turned into a clever marketing tool, generating sales and contributing to the shop's 40 percent annual growth.

At ScubaToys, which has 2006 projected sales of $5 million, 80 percent of sales are internet-driven. The webcam started out as an inexpensive security camera-turned-cool toy in 2002, but Dague quickly realized its sales and customer-support benefits. "The technology creates a richer retail experience and helps build credibility and trust with online customers," he says.

The webcam also helps personalize internet shopping: When customers call with questions, Dague takes products to the webcam--and now attributes at least four sales every day to the technology.

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This article was originally published in the July 2006 print edition of Entrepreneur with the headline: Candid Camera.

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