The number of online shops has grown significantly in recent years. Yet companies are having a lot of trouble keeping pace. Due to high competition and low conversion rates of many websites, growth is lagging behind for many online retailers. A US report, SORO 2016 Key Metrics, Business Objectives and Mobile, made this trend in e-commerce clear recently.
A large number of US retailers participated in the survey and 17 per cent of them said they had barely achieved any growth, a difference of 14 percentage points compared to 2015. The main reason given by these retailers was that competition is cut-throat. A total of 800,000 online shops are involved in the US market.
Handing in profits
Retailers had to give up a lot of profit because they often could not pass on shipping costs or gave hefty discounts to attract consumers' attention. Here again, competition was a major obstacle. Especially during the holiday season, online retailers gave up considerably.
Shift to mobile
Consumers ordered more via their smartphones last year. 17 per cent of all purchases were made via mobile phones. Tablets were used in 14 per cent of cases. A year earlier, smartphones were used in only 12 per cent of orders.
Growth is difficult
Despite it being relatively easy to start an online shop, it is difficult to maintain it due to low growth. In addition, IT and fulfilment costs have risen sharply. One trend in online shopping is the mobile app. Seventeen per cent of all orders are made via mobile phone. A significant increase compared to a year earlier when it was only 12 per cent. Despite this, far from all retailers still have a mobile app.
Editorial LogistiekProfs
