Retailers urged to ramp up online trade

IBISWorld general manager Robert Bryant said he expected the uptake of broadband in Australia should reach 9.6 million subscribers by 2012, up from 7.1 million this financial year. "Given this growth, Australian retailers can no longer ignore the benefits of offering transaction facilities for their products, particularly clothing," Mr Bryant said. "Australian retailers need to use the internet to do much more than just present a snapshot of their product, brand and store information.

"They need to use the e-commerce space as an important channel to not just boost market presence and penetration but to clear stock and incrementally add to sales volumes." Mr Bryant said generation Y (those born after about 1980) were major consumers, and they were extremely accepting of purchasing online, especially as the generation grew older and became more affluent. IBISWorld said Australians were the third biggest online consumers in the world per capita and yet the country's online retail transaction facilities were poor.

"Right now online sales are minuscule in terms of overall transactions because of the challenging retail environment," Mr Rajakumar said.

"But over the next five to 10 years the retail environment is going to be different and online is an area where Australian retailers don't want to be losing out."

Source: The Age

Tuesday, 9 September 2008

[Return to Latest News]