January 19, 2001, 12:00 AM

Gartner' expectations for holiday shopping: $19.5 billion worldwide

Don Davis

Editor in Chief

Gartner Group Inc. forecasts worldwide online holiday shopping revenue to surpass $19.5 billion this year, and while there are huge sales opportunities, many Web sites will fail to deliver their products. "After two online holiday buying seasons of lost orders, late deliveries and broken promises, consumers have little patience for late or lost orders and poor customer service," Geri Spieler, research director for Gartner's e-Business Services, said in a prepared statement. "Brick-and-mortar companies with online channels have some inventory availability advantages over Internet pure-plays, but the point is lost on a consumer who cannot get a question answered or find out where an order went. With the cost of customer acquisition ranging from $50 to $300 each, there is no room for profit without repeat purchases. Without customer loyalty, e-tailers will eventually fail to earn new business." Gartner says there are three major Web site problems that are driving consumers away. These problems are lack of product fulfillment information; poor customer-centric, intuitive site navigation; and a lack of reasonable, reliable shipping fees and delivery dates.


Sign In to Make a Comment

Comments are moderated by Internet Retailer and can be removed.

Not a member? Signup for free today!




Relevant Commentary


Jason Squardo / Mobile Commerce

Five tips for achieving high mobile search rankings

Searches on mobile devices will soon exceed those on computers, Google says. Retailers that keep ...


Sergio Pereira / B2B E-Commerce

Quill turns to its B2B customers for new ideas

Coming in April is a new section of Quill.com that will let customers and Quill ...