THE FUTURE OF INTERNET SHOPPING
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What's the future for internet shopping?
From now on, the global internet economy will begin a period of intense development.
Some predict if more televisions are sold that can connect to the Internet, millions of people will become used to ordering their groceries, and the wide range other goods on the internet via their television set.
One report shows that by the end of this year 200,000 US and 70,000 European companies will add online commerce to their buiseness. With that much online shops $US26 billion will be spent online by 2002.
Businesses could make big savings by moving their functions and business online. Some examples are the cost of proccessing an airline ticket is usually $US8 but on the net the price falls to $1.
A bank transaction usually costs about a dollar but online it is only one cent.
A smaller commercial business could earn more by adding an online store to their business because the internet erodes the marketing and sales advantages of larger companies. e.g A smaller company with a better product and better customer service can use the internet to challenge larger competitors, something it couldn't do in the real world.
And some more predictions made, by 2002 the online retail book market will increase from the 3.8% today to 7%. Online air ticket sales from 1% to 5%., And US households buying groceries online will increase from 10,000 today to a huge 7 million.Computer software, hardware, books, CDs, airline tickets, banking transactions, hotel reservations and small impulse buys are the most popular purchases made on the internet.
So things are looking up for internet shopping . But could anything stop the huge groth of internet shopping which has been predicted? If anything does it will be security of online transactions. Surveys have shown this is the biggest stumbling block to the growth of e-commerce. Security issues are being discussed on a world wide scale and the forms of purchase transactions are becoming more and more secure.
Costomer service could also hold back growth of e-commerce. Consumers are annoyed by a lack of feedback from the shopping web sites, and they want more information on their purchases. A major source of dissatisfacation is orders that could not be filled.
If people are going to rely on the internet for basic necssities the consumer needs better service. The internet is becoming more mainstream and the expectations for it are becoming more mainstream.
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