The recession appears to have accelerated the pace at which shoppers are abandoning bricks and mortar favour of online retailers- e tailers. Black Friday also marks the start of many conventional retailers' attempt to regain the initative.
E-commence holds particular appeal in straitend times as it enables peaople to compare prices across retailers quickly and easily. Sometimes buyers can even avoid local sales taxes online. and sometimes even shipping is free! In contrast, online sales grew by 13% in 2008 to over 141 billion are predicted to graw by 11% in 2009. Online sales now account for 6 % of all retail sales in America and that figure to grow to reach 8% by 2013. Amazon's sales rose to around 5.5 billion in the thrid quarter of the year, they went up 30% from year before. Amazon also has many items for sale online and they also started selling grocceries.
Retailers are also trying to make shopping seem funand exciting to counteract the aconomic gloom. One common tactic used is to set up "pop-up" stores, which appear for a short time then they vanish again. Stores are also trying to lure costomers by offering services that are not avalible online. Best buy, has started selling music lessons along with a musical instrument.
Connection
This article relates to the textbook because it talks about how non store e-tailing is increasing insale. Stores such as Wal-Mart and Sears are General merchandise retailers and have have great sales such as black friday. Black Friday is a big sale that takes place every year and one year somebody died by getting trampled to death by the huge crowd coming into the store. People have been going to these big sales due to the reccesion and this has effected many Americans and Canadians to go shopping to these stores with large sales or outlet stores. My family and I usually go shopping on these large sales and I have noticed that the amount of people arriving has increased.
Non store retailing has been increased by a lot and many costomers choose to shop online because it is very time consuming and I don't have to waste time and money on expensive costes of gas. Ebay is a giant e-commerce that crashed on November 21st because the amount people coming on the site. These companies are growing everyday and in a few years I think that Non store retailing is going to be bigger than instore shopping.
Reflection
Black Friday and boxing day are very simular because they are both big sales were you get an rush to go to this big sales. Since the recession these days are good because you can save money on expensive things. It is also good for the retailer because they can get rid of old stock and make room for the new stock.
I think online retailing is good because I don't have to waste time going to the stores and wasting gas getting there. In a way I think that online retailing is eco-friendly because I don't have to waste my parents time getting there. On the other hand what if fraud takes place, what if somebody buys things with you're credit card number that gave online. Or what if the item I bought doesn't get sent to me or looks nothing like what it looked like in the picture.
Its incredible how Amazon sells groceries online, doesn't the food get spoiled and I wonder who would even buy it. Amazon is amazing, they have so many costomers and they still continue to grow.
I agree with Arron on his opinions throughout the article. The fact that Amazon is able to sell groceries still puts me in awe because of the fact of what kind of people would actually do their shopping online. In a lot of ways online retailing does benefit people. For instance it does decrease lineups, there is usually free shipping, its easily accessible and also costs a lot cheaper to run. On the other hand there is still the trust factor which continues to be a major issue surrounding e-tailing. Most people, including myself, need to actually see and feel the product in person instead of taking a gamble and purchasing goods online. In the end this form of non-store retailing is increasing steadily and looks to change the face of retailing in the future.
ReplyDeleteI agree with both Arron and Alan in this one. Black Friday and Boxing Day are very similar. They give retailers and opportunity to boost their sales by quite a bit in a matter of days.
ReplyDeleteAlso, I never knew Amazon sold groceries. Me and my parents buy a lot of electronics off of Amazon.ca. It really helps a lot if you know what your buying, it saves you a lot of money straight off because its cheaper than normal retailers. It also saves you money spent on gas and saves you a heck of a lot of time. But in the end I would still prefer buying stuff in store rather than online, I am one of those kind of people that need to touch and feel their product and see if its the right thing for me.
- Fayyaz Azam