Home / Knowledge / News / Information Technology / E-commerce continues to be a bright spot in biz - Scott Silverman

E-commerce continues to be a bright spot in biz - Scott Silverman

21
Oct '09
Despite a progressively deteriorating economic environment, including the worst holiday season in decades, 57 percent of online retailers surveyed for Shop.org's State of Retailing Online reported they were more profitable in 2008 than 2007. The survey polled 117 retailers and was conducted by Forrester Research, Inc.

“Many Americans are heading to the internet first to look for sales and promotions, especially when shopping for gifts and big purchases,” said Scott Silverman, Executive Director of Shop.org. “Though online retailers have had their challenges within the past year and watched consumers pull back on spending, e-commerce continues to be a bright spot in business.”

According to the survey, online retailers adjusted to the economy in a variety of different ways. Nine in ten retailers (91%) focused on preserving margins, while 88 percent of retailers amplified promotions or increased “value” messaging. Slightly more than half of retailers (53%) lowered prices as a result of the economy.

As the U.S. economy suffered in 2008, the environment provided an opportunity for some online retailers to focus on gaining market share while other retailers struggled. For many, that concentration proved successful: according to the survey, one-third of online retailers (33%) said they increased market share during the downturn.

“While online retailers have been able to navigate better than most through the economic downturn, companies should continue to focus on keeping costs low and integrating the online and offline channels in order to be best positioned when the economy bounces back,” said Sucharita Mulpuru, Forrester Research principal analyst.

As the economy begins to stabilize and consumer confidence grows, online retailers are hopeful for the future with guarded optimism. Four out of five online retailers (60%) believe the U.S economy will improve within the next year, and half (50%) think their web business will actually fare better than expected in the next 12 months. That said, retailers are being cautious internally: even though the overall sentiment about online retail is strong, thirty-eight percent said that they have actually lowered expectations around the Web business, even though the overall sentiment about the channel is strong.

Forrester Research, Inc. is an independent research company that provides pragmatic and forward-thinking advice to global leaders in business and technology. Forrester works with professionals in 20 key roles at major companies providing proprietary research, customer insight, consulting, events, and peer-to-peer executive programs. For more than 26 years, Forrester has been making IT, marketing, and technology industry leaders successful every day.

Shop.org, a division of the National Retail Federation, is the world's leading membership community for digital retail. Founded in 1996, Shop.org's 700 members include the 10 largest retailers in the U.S. and more than 60 percent of the Internet Retailer Top 100 E-Retailers. It's where the best retail minds come together to gain the insight, knowledge and intelligence to make smarter, more informed decisions in the evolving world of the Internet and multichannel retailing. Shop.org programs and activities include benchmarking research, events and networking communities.

National Retail Federation


Must ReadView All

Pic: Shutterstock

Textiles | On 1st Oct 2020

Vietnam textiles, garments may face EAEU safeguard duties

Several textile and garment products from Vietnam may face safeguard...

Pic: JHVEPhoto / Shutterstock.com

Retail | On 1st Oct 2020

H&M plans to shut 250 stores globally in 2021

Sweden’s H&M Group’s net sales amounted to SEK 134,482 million in the ...

Pic: Shutterstock

Apparel/Garments | On 1st Oct 2020

EURATEX hails EU initiative on impact of foreign subsidy

The European Apparel and Textile Confederation has hailed the...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Farmers who produce seeds earn 50 per cent more

Binoy Ravjani, Hero's Fashion

Binoy Ravjani
Hero's Fashion

‘One of the recent trends in hand block printing is the indigo process,...

Textile Industry, Head honchos

Textile Industry
Head honchos

African fashion has a strong identity

Abhishek Ralli,

Abhishek Ralli

Founded in 1962 in Agra, Guide Footwear manufactures men’s footwear for...

Zennure Danisman,

Zennure Danisman

Since its inception in 1953, Orta Anadolu has been weaving a denim...

Marcel Moser,

Marcel Moser

Switzerland-based Benninger is a leading manufacturer of technologically...

Pierre Wiertz, EDANA

Pierre Wiertz
EDANA

EDANA, the international association serving the nonwovens and related...

Daniel Odermatt, Ventile

Daniel Odermatt
Ventile

Ventile is a registered trademark used to brand a special high-quality...

Frank Heislitz, Freudenberg

Frank Heislitz
Freudenberg

Freudenberg Performance Materials is a leading global manufacturer of...

Divvya and Nidhhi Gambhir, Walnut

Divvya and Nidhhi Gambhir
Walnut

<b>Divvya and Nidhhi Gambhir</b> started their career with the launch of...

Sonam & Paras Modi, SVA

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Ruma Devi, Gramin Vikas Evam Chetna Sansthan

Ruma Devi
Gramin Vikas Evam Chetna Sansthan

Ruma Devi is a jet-setting promoter of artisans who has empowered...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


September 2020

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search