May 14, 2010, 3:45 PM

Something to believe in: Chains can’t afford to be agnostic

A few years ago, successful retailers were said to be channel agnostic.

A few years ago, successful retailers were said to be channel agnostic. Turns out, the consumer is not channel agnostic. Two recent reports offer evidence that consumers are continuing to shift their buying online. And the big, real-estate-invested chains are paying the price.

The U.S. Commerce Department reported online sales were up 14.3% in 2010’s first quarter vs. growth of 3.4% at stores, excluding supermarkets. The just-out Internet Retailer Top 500 Guide reports that within the Top 500, where sales grew 8.8%, web-only merchants grew their collective sales by 19.7% while chains grew theirs by 6.6%. Equally interesting, for 26 of the 50 chains, e-commerce sales grew while comp store sales dropped. For 11 others, web sales grew faster than or didn’t decline as much as comp stores sales.

Chains who remain channel agnostic while consumers become Internet believers  are giving market share away to the web-only merchants and to their competitors who well crafted web strategies.

comments powered by Disqus

Advertisement

Recent Posts from this Blog

FPO

Jon Noronha / E-Commerce

Seven ways to personalize online marketing

Use what you know about the shopper in every communication, create a sense of urgency ...

FPO

Emil Sayegh / E-Commerce

The Ashley Madison debacle: lessons for online businesses

Ashley Madison actually did something right that prevented the breach from being even worse. But ...

FPO

Richard Hui / E-Commerce

Buyable buttons shift the ad model: What retailers should do now

Retailers may close more sales when adding Buy buttons to ads on platforms like Google, ...

FPO

Joe Kleinwaechter / Mobile Commerce

How to make it easier for shoppers to buy on mobile devices

They want to browse online, continue their search on mobile websites and complete a purchase ...

Advertisement

Advertisement