Internet Sales Increasing; January 2013 Update

05 January 2013 cybecom 0 Comments

Online Shopping

Purchasing products and services through the Internet is gathering pace and according to the research by PwC and Frost & Sullivan in July 2012, 6.3% of sales in Australia, 7.3% of sales in the US and 10.7% of sales in the UK are done online.

Further statistics can be seen in PwC and Frost & Sullivan’s Infographic.

Reasons for purchasing online include:

eliminate driving
no crowds
no noise
better selection
better prices

Reasons for businesses going online include:

“avoiding high rental costs (or reducing rental costs) for business premises
comparatively low barriers to entry in terms of business establishment costs
low barriers to geographic expansion across Australia and overseas
reducing the amount of advertising needed to sell products
removing the need for intermediaries and associated costs by interacting directly
with customers.”¹

Acknowledgements:

PwC, (2012, July), What is driving the growth of online shopping?
¹ Australian Communications and Media Authority (ACMA), (2011, pg 6), [rokbox text=”Report 1— E-commerce marketplace in Australia: Online shopping”] http://www.acma.gov.au/webwr/_assets/main/lib410148/CR_comp_report1-E-commerce_Marketplace_in_Australia.pdf[/rokbox]
Voice of America, (2012, December), “E-Commerce Challenges Traditional Stores“

Michelle Jansen

This article has been written by Michelle Jansen, Principal Ecommerce Consultant for CYBECOM. Michelle holds the qualifications of BAppSci (Maths & Computing), PostGradDip Business (Ecommerce) and GradDipEd (Middle Years). She has been consulting in Ecommerce since 1999 and has performed work for clients in all areas of business including SMEs and Corporates as well as State and Local Government.