You’re in the right business! Internet Retailer is reporting that online sales grew 23% over this year’s third quarter as compared to last year’s third quarter.
That’s $28.44 billion, up from $23.05 billion, a $5.39 billion increase! Wow! These numbers come from comScore Inc. reports which also says that online sales grew 21% from $69.12 billion to $83.58 billion in the first three quarters of this year.
That is a huge rate of growth, and the market is nowhere near mature. Most of us are so close to the idea of online spending that we often forget that despite this continued double-digit growth there is a huge segment of the population that rarely if ever shops online…my own family is among them, and despite my suggestions, urgings, and pep talks, they resist going online for much of anything. Some people are not computer savvy, and checking and sending email may be a stretch for them, as it is for my own parents. They just do not feel comfortable shopping in an online store where they can’t talk to someone and see and feel the merchandise. But in time, their attitudes will change and this segment of the population will increasingly begin to venture into the online marketplace. When they do, what type of site will you greet them with?
These reluctant online shoppers will need some extra “encouragement” to part with their hard-earned money in your online store. They need some extra reassurance that your website is trustworthy, that their personal information is secure, and that you are offering quality products and services. Check out this MightyMerchant article, “Increase Sales Conversion By Reducing Customer Anxiety” for tips on just that: providing trustworthy website content.
Here is a breakdown of the top-gaining online retail categories and the percentage change from 2006 third quarter to 2007 third quarter, as reported by Internet Retailer:
Video games, consoles & accessories, 199%
Consumer electronics, excluding PC peripherals, 58%
Toys & hobbies, 57%
Event tickets, 54%
Books & magazines, 48%
Furniture, appliances & equipment, 47%
Home & garden, 31%
Music, movies & videos, 31%
Jewelry & watches, 21%
Sport & fitness, 20%
Apparel & accessories, 11%
Posted on October 31st, 2007 by Vanessa
Filed under: Marketing and Promotion
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