Posts Tagged ‘E-commerce’

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Online sales up while uncertainty remains on the high street

Tuesday, June 8th, 2010

UK internet, mail order and phone sales were up 21.9 per cent year-on-year last month, according to the latest figures released by the British Retail Consortium (BRC). The month-on-month increase was 15.9 per cent on April.

The BRC-KPMG retail sales monitor showed that like-for-like UK retail sales values across all categories were up by 0.8 per cent on May 2009, when sales fell by 0.8 per cent. On a total basis, sales were up 3 per cent last month, following a 0.8 per cent increase in May 2009.

Commenting on the online sales figures, Stephen Robertson, director general of the BRC, said: “This is excellent sales growth – the highest since December.

“Customers took advantage of the many online deals and promotions, especially on televisions in the lead-up to the World Cup, as well as clothing and footwear.

“But we’ve got to put these figures into context: it’s compared with last year’s very weak performance – the lowest growth for at least 18 months.”

The BRC said while consumer confidence has improved since last year, there remains uncertainty, making people think twice before buying expensive items such as furniture.

By Richard Morris

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Retail sales via mobile internet forecast to more than double in three years

Monday, June 7th, 2010

Mobile phone users bought nearly £123million of goods in the UK in 2009 using their smartphones, according to a new report, and this figure looks set to more than double in the next three years.

As total online retail spending in 2009 was £21.2bn – or a market share of 0.6 per cent – this means that by 2013, mobile internet sales could reach £275million, or the four per cent of the overall market, claim analysts Verdict and Ovum, who have released a joint study.

They claim that, in the last year, only 2.1 per cent of the UK adult population shopped using internet access on their mobile. This is less than a tenth of the 28 per cent of the population who have mobile internet access.

“Consumers are not spending significant amounts via mobiles and, for now, we believe the true potential for m-commerce is to provide consumers with a valuable tool for research, comparison shopping and retailer interaction,” said Malcolm Pinkerton, senior analyst with Verdict Research.

“However, with internet-savvy consumers now accustomed to the multichannel environment, they are beginning to embrace m-commerce,” he told Brand Republic magazine.

Christine Bardwell, senior retail technology analyst at Ovum, added: “The opportunities are there for the most proficient multichannel retailers to claim a share of the growing cross-channel expenditure by exploiting the possibilities provided by mobiles to seamlessly link the online and in-store environments.”

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Posted in Advertising and Marketing, E-commerce, Financial, Internet, Mobile, News, Online, Shopping, Technology, Uncategorized, search | No Comments »

Argos joins rush to sign up i-Phone users

Thursday, May 20th, 2010

“Don’t just shop for it, i-Phone it to Argos” – that might well be the latest variation of Argos’ well-known advertising catchphrase promoting the retailer’s latest idea to open new channels for its customers.

The high street company has followed several other big-name retailers in announcing the launch of an interactive shopping service available over customers’ i-Phones.

The move has been prompted by a huge increase in traffic to its website from Apple mobile devices last year.

Customers can use the app to update their Argos accounts, order items for collection in-store, and check the availability of stock in specific stores.

Regular users of its website are the main targets of the launch.

David Tarbuck, head of multi-channel development, said 750,000 people visited the Argos site using Apple devices.

He told New Media Age magazine: “The biggest trend we’ve seen in the way customers use their mobile phones to shop has been the increase in product browsing online.

“We’ve seen product browsing figures increase by nearly 700 per cent in the last year from the iPhone, so we’ve developed an app tailored to this consumer trend.”

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Google Local Business listings sets up shop as Google Places

Wednesday, April 21st, 2010

Google Local Business listings are a vital component in the search engine optimisation (SEO) strategy of many small business owners looking to promote their company online.

Google has announced this week that it is renaming the Google Local Business Centre to “Google Places”.

With this name change Google has included a whole host of new features for small business owners looking to optimise their website for prime position in the local business results.

-          Tags: Business owners can now use tags to add further emphasis to their listings in Google Places. This currently only applies to select cities.

-          Request internal photo shoot: Rather than having to take their own photos and upload these to Google Maps, businesses in select areas can now request a free photo shoot. These photos will then be used in Google Places.

-          Expanding service areas: Business owners can now list the various areas they serve. This is likely to benefit companies who serve multiple regions and it may also be a tactic by Google to stop firms submitting more than one listing from the same address. Areas in which a particular business serves will be placed on the Google Places page for that business.

All of these changes will provide a tangible benefit to companies looking to promote their service or business through Google Places.

The main ranking factors behind Google Local Business listings remain the same however, in particular, ensuring that your listings are verified and that your business address is listed on a suitable number of relevant external websites.

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Apple iPhone and mobile devices help change retailer approach

Tuesday, March 30th, 2010

A new survey has noted the effect an expanding smartphone market and the ability to browse the internet while on the move is having on the retail sector.

Thanks to products such as Apple’s iPhone, Blackberrys and Google’s Android devices, 27 per cent of consumers aged 18 and above now use their mobile to research and browse for products and services at least four times a year, while 13 per cent will make purchases.

For the 18 to 34 age group, 41 per cent browse and research products through their phone while 23 per cent make purchases at least four times a year – 8 per cent are buying through their mobile on a weekly basis.

The research was carried out by Massachusetts-based e-commerce specialist Art Technology Group (ATG) and highlights how important it is for retailers to take a multi-channel approach which could include the internet, mobile, a high street presence, catalogues and call centres.

Over three-quarters of consumers will use two or more channels to browse for products, carry out research and make purchases, according to the survey. A total of 30 per cent said they use three or more channels.

It also found that 43 per cent of people will research products online or through their mobile before contacting a company directly to complete the sale as they can’t find all the information they need on the website.

A total of 39 per cent of respondents said they will browse and research products online or through their mobile before heading to a store to see and touch the product. Over one third of consumers will do this to compare a number of similar products from different brands.

Nina McIntyre, ATG’s chief marketing officer, said: “Merchants have heard the call for a stronger cross-channel strategy for many years, but what has been lacking is a deeper explanation about why this is so important.

“We are seeing a multi-channel revolution now, with a vast majority of consumers using multiple channels and now almost one-third actually relying on three or more channels to complete transactions.

“Retailers must direct their energy toward fulfilling the unique role and sales potential of each channel. This research illuminates the expectations consumers have for the web, call centers, the store, catalogs and e-mail.”

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Radio show investigations uncover abuses of e-commerce sites’ customer details

Thursday, March 18th, 2010

The UK’s information security watchdog, the Information Commission, has warned online shoppers against letting retailers share their details with other firms.

Customers of several online companies have complained that they did not realise they were agreeing to join discount services when clicking on links.

They uncovered it when amounts of up to £99 were taken from their accounts.

The companies involved denied being unclear and said customers who had complained were refunded.

One listener told the BBC’s Money Box radio programme that she bought some storage bags from a website selling them.

A month later the company called to see whether she was happy and then asked if she wanted a holiday discount brochure.

“I noticed it referred to a 30-day free trial but then next thing I knew a firm called Break4Free had taken £99 out of my current account without my authority,” the listener told the programme.

“I wasn’t aware that debit card details had been passed on by the original supplier.”

She questioned the transaction but when she asked for a tape of the phone conversation was told it had been deleted. She was refunded in full.

Another listener told Money Box that he had bought a ticket on thetrainline.com and then was asked to click a link to get a £15 discount off his next purchase.

He then re-entered his card details, believing this was necessary to receive the discount.

But he was surprised to find money was then taken from his account by a company called Shopper Discounts and Rewards; he argued that this was not made clear enough at the time of purchase: “Having seen the website again it states there is a £10-a-month charge.

“But a lot of people might not realise and might not check their account to notice the £10 a month charge.”

Deputy Information Commissioner David Smith warned companies that they did not just have to comply with the letter of the law.

“Some businesses (think) so long as it is there in the small print somewhere that’s good enough. But it isn’t.

“It is not about complying with the law it’s about making sure your customers know what’s happening with their information.

“These notices have to be upfront and obvious and if there is financial information and a charge involved you’d expect it to be up there in flashing lights.”

But he warned that customers had to be smart when shopping online too.

“The responsibility isn’t all one way. Consumers shouldn’t go to websites with their eyes shut or blinkers on.”

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Posted in BBC News, Internet, News, Security | 1 Comment »

Online shoppers don't know their rights

Tuesday, March 9th, 2010

Almost two-thirds of shoppers say they are less likely to return goods bought online than those they buy from a shop, according to a new Government-backed survey.

The Department for Business, Innovation and Skills says its findings are despite online shoppers being afforded more protection than those buying on the high street, in the form of a statutory seven-day ‘cooling-off’ period during which they can return purchases without affecting their rights.

UK consumers are the biggest users of internet shopping services in the whole of Europe. They spent GBP38billion online in 2009, which accounted for 10 per cent of total retail sales.

Among the survey’s findings were that:

- More than three-quarters of people surveyed didn’t know that they had different rights when buying online compared with making a shop purchase

- More than 60 per cent say they would be less likely to return goods bought online as against those bought in a shop, and

- More than one in eight of those questioned were unsure of their rights as an online buyer.

Consumer Minister Kevin Brennan said: “We are now Europe’s biggest online shoppers, so it’s important we all know that most online goods can be returned with no questions asked within seven days.

“We want confident consumers who can assert their rights and get a good deal.”

Michele Shambrook, operations manager for Consumer Direct said: “People who are knowledgeable about their rights are more likely to get a fair deal, save money and resolve problems when things go wrong.”

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Tesco launches Clubcard phone app

Thursday, February 11th, 2010

The UK’s biggest supermarket chain has announced a new iPhone app which will allow members of its Clubcard reward scheme to claim the benefits which the card offers.

The free app from Tesco lets Clubcard holders collect their reward points even when they don’t have their card with them when they shop.

The development was reported on the Money Saving Expert website, which also said that it was likely to be extended to holders of Clubcard credit cards within six to eight weeks of the app’s original launch.

Plans are believed to be in hand for the scheme to be extended to Blackberry and Nokia phone users, but no date has been announced for their introduction.

The app works by a user entering their name and card number, which is then converted into a barcode which is scanned at the checkout and converted into the reward scheme points.

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Online trading in the UK hits almost £50bn

Thursday, January 7th, 2010

Consumers in the UK spent almost £50billion shopping on the internet in 2009 according to new research.

Web services firm, Retail Decisions, has said a strong performance by online retailers during the festive period resulted in a 21 per cent increase in the amount of money spent online last year. Around 33 million Brits spent £49.8billion buying products off the internet during the last 12 months.

A report in the Independent said Retail Decisions’ figures help back up the idea that shops saw stronger sales through the internet than they did in stores.

Carl Clump, chief executive of the payment processing specialist, said: “In 2009, 30 per cent of online sales took place in November and December, underlining the importance of the holiday season to retailers.

“Necessities such as white goods for the kitchen took first place followed by laptops, widescreen TVs, digital cameras, games consoles, MP3 players, NetBooks and the iPhone 3G.”

Retail Decisions said it was the first time in 10 years that white goods, such as dishwashers and freezers, had topped the bestsellers list, most probably as a result of shoppers wanting to make large purchases before the 17.5 per cent VAT rate was reintroduced on January 1.

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UK buyers put Amazon top of e-shopping satisfaction table

Thursday, January 7th, 2010

Amazon UK has been rated the best online retailer for customer satisfaction, according to a new study.

Ticketmaster and B&Q scored lowest for customer satisfaction out of the UK’s top 40 retail websites in the study, carried out by ForeSee Results.

The rankings also show general satisfaction with online retailers reaching new highs, despite their sales figures tailing off towards the end of 2009 as the recession began to bite, suggesting that retailers’ efforts to concentrate resources on their online offerings is bearing fruit.

The index used four criteria – content, merchandise, price and functionality – to measure overall customer satisfaction, and gathered data from 10,000 responses from people who visited the UK’s top 40 retail websites during November and December 2009.

Every one of the 40 retailers covered showed some increase in overall customer satisfaction, with Debenhams, M & M Direct, John Lewis, The Orange Shop and W H Smith achieving the best improvements in their ratings over a year ago.

Amazon UK was followed by Play.com and QVC.com in second and third place. The worst online retailers in terms of customer satisfaction, Ticketmaster and B&Q, were followed by Littlewoods, Freemans and Currys.

Reflecting the effects of the recession on UK consumers’ buying habits, this year was the first time in the three-year history of the UK index that price was rated the top priority for half of the 40 e-retailers measured.

The survey also highlights that UK retailers still lag some way behind their American counterparts for overall customer satisfaction, with average satisfaction ratings 10 points lower (69 per cent compared to 79 per cent).

Internet-only retailers, too, fare better than their multi-channel counterparts, averaging 74 per cent satisfaction against 70 for those with a mix of bricks-and-mortar and online outlets – although the gap between them has shrunk in the last 12 months.

Larry Freed, CEO of ForeSee results, said: “While these numbers are certainly a huge step in the right direction, companies who saw improvements run the risk of being lulled into a false sense of security.

“There is still a long way to go with the UK’s numbers still trailing the US by 10 per cent.  Additionally there is only one site out of 40 with a satisfaction score over 80, Amazon, essentially an American company with a strong UK presence.

“It concerns me that there are still 15 companies scoring 60 or lower, which means they are risking sales and market share to better performing companies.”

Kevin Ertell, vice-president of retail strategy at ForeSee Results added: “The more e-commerce savvy UK consumers become, the more they will expect and demand of their online experience.  Getting customer satisfaction right is critical and those who do it well will enjoy a positive impact on their bottom line.

“The online channel continues to be one of the few success stories in the retail economy, meaning that retail websites are more essential and capable than ever before.”

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