Could on-line sales rescue Australian retailers’ - possibly…?

Online retailers are riding to the rescue of the UK retail sector, and are set to post the only positive growth figures in the sector, according to research commissioned by online payment service PayPal.

We alerted Australian and New Zealand retailers to the possibility of substantial growth in on-line retailing in our third in the series of how to ‘Buy’ for summer – Christmas 2009.

Each year there is a growth in on-line sales exceeding conventional store sales; we expect based on current on-line sales growth to see on-line sales for summer – Christmas 2009 again exceeding conventional store sales growth in Australia.

The question is, if your business geared to grow on-line sales for summer- Christmas 2009.

Quite frankly the overall quality and spread of established Australian and New Zealand retailers’ Website offerings is not up to International best practice.

A New Zealand Website provides guidance on how to leverage maximum sales with minimum cost – video and linkage to cinema advertising works.

Many sites are just token sites seen a nuisance value by the business.

The truth, Australia due to its geographic size and spread population should be pumped and leveraged in areas where the retailer does not have a physical presence.

• Cutting teeth on on-line can be great precursor to test and missionary open a catchment before opening a physical store.

• Profitable on-line stores can also counter the inevitable growth in Shopping Centre mall costs.

CEO’s need to support and encourage on-line growth.

So many on-line stores are managed by marketing departments with a not so enthusiastic IT department in tow.

The fulfilment arrangements are ‘back of shed’ with poor viral consumer follow-up.

• Consider moving your on-line fulfilment to an experienced 3^rd Party Warehouse; it could save you money.

1. On-line sites should be front and centre of store signage.

2. On-line sites should be promoted in-store.

3. Bridal Registry Kiosks and Digital Kiosks should promote on-line ordering.

Summer – Christmas is going to be tough for some retail categories; on-line pumped well starting now can provide some bottom line comfort.

It is suggested CEO’s have a thorough review of their on-line site; make it visible as a key business driver; sort out viral marketing strategies and sort out a fulfilment structure to support growth.

Finally, evaluate all your competitors Websites and get a site designed to beat your competitors in offer, functionality and fulfilment.

The time to start planning your on-line strategy for summer – Christmas 2009.

Could on-line sales rescue Australian retailers’ - possibly…?

For guidance to set your on-line strategy thinking for summer – Christmas 2009 email on-line summer – Christmas 2009.

Tony Standley

Principal
The RETAiL Alert Group (Australia)
Mobile +61 (0)41 924 0497
e-mail info@adsass.com.au
Fax +61 (0)2 9987 0633
Website http://www.retailalert.com.au
 
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