Over 50%of E-retailers Record Higher Sales In 2012
This morning The Drum have published a the results of a recent survey, which showed that more than 50% of small- and medium-sized online retailers exited 2012 with a surge in revenue.
About two thirds of e-commerce businesses working in the UK are confident that the growth will extend into 2013 and will be even higher, the poll, conducted by the Royal Mail, revealed. Competition remains a major challenge for a broad number of e-retailers, with 70% of those interviewed considering that it has become harsher over the past two years as a result of the spike in mobile and online shopping. About 56% of e-retailers believe that the uptick in the number of e-commerce websites is the reason for the hotter competition in the segment, while 50% consider that consumers have become more cautious about making purchases.
One of the major obstacles SME e-retailers find in achieving their sales targets is bringing in new clients, as identified by 57% of the respondents. Online retailers also experience difficulties in staying competitive enough in terms of pricing and encouraging shoppers to return and purchase again.
UK e-retailers are also taking steps to benefit from the growing popularity of m-commerce. About 35% of them consider launching mobile apps this year, while 10% plan to introduce such apps in the short run.
2012 was not that successful for high street retailers, as many of them found it extremely difficult to vie with their online peers. This led to a large number of closures, with more expected to be seen in 2013.