As more people become comfortable buying online, "the dominance of the
two e-commerce giants [Amazon and eBay] is being chipped away by a new
breed of online shopper drawn to familiar names and lower prices,
better Internet-search technology and an explosion in the number of
merchants competing on the Web," today's Wall Street Journal reported
in a front-page feature. The main beneficiaries are bricks-and-mortar
stores with online ordering services. The "new breed of customers," the
paper continued, "care more about low prices and are likelier to
recognize and trust the names of stores they know well, such as Gap or
Wal-Mart, over online merchants like Amazon or eBay."
Amazon has responded in part by introducing Amazon Prime last year, which lowers shipping costs over time, and adding digital downloading services.
According to statistics and studies quoted by the Journal:
Amazon has responded in part by introducing Amazon Prime last year, which lowers shipping costs over time, and adding digital downloading services.
According to statistics and studies quoted by the Journal:
- Consumers will spend $132 billion online this year, up 19% from $111 billion last year (JupiterResearch)
- The share of online spending that goes to Web-only retailers is 52% this year, down from 55% last year and 60% in 2004 (Majestic Research Corp.)
- Some 41% of Internet shoppers in the U.S. made their first online purchase in the past four years (Forrester Research)