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Showing posts with label internet sales. Show all posts
Showing posts with label internet sales. Show all posts

November 1, 2011

Online Shopping Trends in Europe: Mckinsey Report

According to Morgan Stanley research report on Internet Shopping   broadband penetration can drive online sales growth. The United Kingdom, for instance, is rapidly catching up with online sales levels in the United States as UK broadband access levels approach US ones (Exhibit 1). Likewise, in Germany broadband penetration rose from 9 percent in 2003 to 45 percent in 2007 while online sales, excluding services and travel, increased to 13 billion, from 6 billion.

Retail sales in Europe have been hit hard by the economic crisis, but as retailers
struggle to navigate through the storm, they shouldn’t lose sight of the region’s longer-term shopping trends. Online sales have been growing there—rising 31 percent across France, Germany, Italy, the Netherlands, and the United Kingdom in 2007, according to the latest available aggregate data. 

The Latest McKinsey Reports indicate that Internet sales will continue to grow during the recession in Europe, last December, for example, UK online sales were up by 30 percent, compared with those of the previous year—even as sales in stores fell by 1.4 percent, British Retail.

McKinsey Research shows that “Store-loving loyalists,” for instance, enjoy the experience of shopping in stores with family and friends. “Anxious storeshoppers” are particularly nervous about products and prefer to evaluate them in person

Two segments with a natural affinity for online shopping emerged across most product
categories. The truly multichannel “24-hour shoppers” love shopping and use the Internet
to explore new ideas as well as to look for goods and services. “Time-pressed optimizers”
find the Web a quick and hassle-free way to buy the things they need. But several segments,each with distinct characteristics, are averse to shopping online.