The Truth about Online Stores and the Economy
When you read the numbers on retail sales from the traditional retail stores and compare them to the online retail world it makes you believe that the traditional channels are in real trouble. Actually, the opposite is true. Yes, the economy has put a strain on the brick and mortar companies, but online sales are not an enemy but rather a boon to the retail industry. What we are seeing is a shift in the focus of the retail industry from the old brick and mortar days to a click and brick industry that looks quite different. The big brands have already realized that the shift is on and have adjusted and the smaller merchants are in the process of doing so if they haven’t already. Yes, there will be some casualties. There always are casualties when there are major changes in an industry but for the most part the online sales industry is boosting the profits of those who have adapted to change.
Online stores have never been easier to start so that has brought new players into the game. Those new players, known as pure click companies have never been in business before. With the help of technology they are reaching the same customers that the brand name stores are reaching. This may be the biggest contribution to the economy that technology has ever made. It has transformed the main street shop and merely moved them to a virtual main street with options that consumers have never seen before.
The consumers have responded in kind by adapting as well. Each year spending increases for online sales and each year new players enter the marketplace and technology brings more surprises for the consumer. This industry has spawned new industries as well. Smartphones and I-phones didn’t just happen they were a response to what was happening in cyberspace and the potential as seen through the eyes of some very intelligent people. The success of eBay and Amazon may have started it all but the success of numerous smaller guys has perpetuated the industry and brought about a change.
Whether you want to buy a Valentine for your sweetheart, a gift for uncle Bob, or Mitsubishi Parts or Hyundai Parts to keep your vehicle running smoothly. It’s all found on the virtual Main Street of the online retail industry. The sales numbers show what’s happening and the analysts are predicting big things for this industry. We really haven’t seen anything yet because there is so much untapped potential out there, that our children’s children will probably ask “what’s a mall daddy?”
Technology changes so fast that we sometimes lose sight of where we came from. The retail industry will be changed forever so take your pictures now because when this online revolution picks up steam you may have a hard time remembering what the brick and mortar store looked like in 2011. You probably have heard of or seen the movie fantastic voyage. Well you are on one right now!