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Web an important business channel for many high-street retailers

July 31, 2008

Online shopping is aiming to take a share of 20p out of every UK consumer pound by year end. Analysts believe that this will make the web an important business channel for many high-street retailers. As declared by IMRG Capgemini E-Retail Sales Index, UK shoppers now spend more than £26.5bn online. This is almost 38 per cent more from the same period last year.

Although the growth in online shopping fell in June, the report predicts that the economic downturn will coax consumers to spend more online looking for good bargains. Stores will have to change their business models as online sales become more popular. Retailers believe that that people will do more research online, but will still come to the store on a Saturday. So this may mean that they will reduce the products and display and invest in staff who will be equipped to help customers.

If the analysts are to be believed, then old school retailers who have so far ignored online sales will have to wake up and invest in revamping their model. If they do not take heed of the change, they will lose a large chunk of their customers.

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