Online Shopping and Ecommerce

The reduced price of going online coupled with growing confidence in online retail stores have sent online sales figures soaring over the past few years. Each year, online sales figures hit a new high. It seems the consensus is,shopping on the internet is here to stay.

The US Census Bureau states that retail sales online accounted for 1.9% of the total sales at the end of 2003. This represents more than $17.2 billion in total revenues. This was up to 25% by 2004. It doesn't stop there. According to Forrester Research online Christmas shopping alone accounted for $13.8 billion in revenues in 2006. Around the world, online sales generated revenues of $747.6 billion for the year 2006, representing 14.8 percent growth over the previous year and 23.1 percent of the total retail sales for the year.

It has long been a belief that people want to actually see or experience something before making a major purchase. However, with the growing availability of comparison shopping sites or sites that host product ratings, consumers are leaning more and more towards online investigation to make sure that they buy the right product for the best possible price. In fact, a survey conducted by Pricegrabbers.com in March 2008 shows that 81% of the respondents used the internet as their primary source of research for both products and retailers when it came to shopping for home furniture and appliances. In fact, there was a significant rise in the confidence level of consumers while making large purchases online as compared to a similar survey conducted in 2006.

Of course, the comfort levels for buying on the web has been elevated by the deals offered by retailers, including good after-sales service and offers on home delivery of products. Also, as major high street companies launch online versions of their physical shops, where people can access the same quality and pricing without the headache of driving all the way to the store and fighting through the masses shopping for similar stuff.

If you still need proof that the world is moving towards online retail in a big way, consider this:

The UK Office for National Statistics predicts that online shopping in the nation is likely to continue its upward trend, accounting for £162 billion in revenues by 2020 and representing 40% of total retail sales.

In short, the online shopping train has taken off and there is no stopping it now. If you want to get on board, feel free to give us a call on 0845 0574320