E-Commerce Growing

What's happening with e-commerce sales?

According to a recent analysis by Economy.com, now that the shakeout of unsuccessful Internet sales models is done, Internet sales are responding to fundamentals. Internet penetration is strong and acceptance of e-commerce is rising. Growing penetration of high-speed Internet access has certainly helped a great deal, and successful Internet retailers are learning how to best attract customers, and multiple channel retailers are learning how to integrate the Internet with their other channels. As a result, sales growth reached 27% on an annual basis last year after slowing in 2001.

Of the nearly $35 billion market, $26 billion is accounted for by electronic shopping and mail-order houses. Motor vehicles and parts sold $5.7 billion in sales over the Internet in 2001. A comparable sales volume was registered by computer hardware manufacturers.

How can e-commerce help your local companies grow their markets? That is a question more and more EDO's are asking. Think of how e-commerce strategies could help your downtown retailers, which may not receive enough walk-in traffic to stay profitable. E-commerce makes sense as a part of your downtown revitalization strategy.

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