The run up to Christmas, 2008 has seen e-commerce become the focus for retailers across the UK.In the light of rising costs and consumers reigning in their spending to save money, the Internet is now seen as the place of choice for consumers, for comparisons and significant savings. Internet marketing for e-commerce sites has become the chosen method of promoting retail businesses.
“With Internet marketing and digital advertising budgets increasing, traditional advertising is being replaced by cost-effective, targeted, digital advertising and marketing campaigns”,
The credit crunch recession has seen closures of retail outlets, both in London and across the United Kingdom, leading to an increase in Internet sales with the Internet being viewed as the buyer’s market.
The UK’s Office for National Statistics (ONS) reported that between May and June 2008, retail sales volumes fell by 3.9%, the largest monthly drop since records began in 1986.
Yet online sales have been strong. In fact, Internet sales may be rising more rapidly than anticipated because hard-pressed consumers are determined to find value for money. Also, the rocketing cost of fuel means many shoppers are cutting visits to brick-and-mortar stores and turning to the Web instead.
Major online retailers are realising that to maintain a presence in the market, they need to offer true multichannel shopping and delivery/return options, as well as value for money. This strategy ensures they will gain and keep their market share in the future. The businesses that are not moving towards Internet marketing, and digital advertising, for whom traditional print or broadcast advertising is now too expensive, are likely to stagnate or go out of business.