E-Tail to take over from Retail in 2020

Retail research company Verdict has warned UK retailers that online sales will dominate high street sales by 2020!

So retailers beware if they do not develop a strong online presence. But as consumers take advantage of cheaper goods and more convenience what will happen to our high streets and shopping centres as retailers close their doors? It's clear that only the retailers and shopping centres who embrace digital technologies (fight fire with fire) will prosper but they will have to get onboard quickly - remember the millennium? It doesn't seem ten years ago!

Old school customer loyalty programs will just not do as customers become ever more savvy. Those who adopt a true 'voice of the customer' approach within their loyalty, engagement, and customer experience initiatives will continue to increase their market share, profitability and brand equity. 'Engagement' is the key but not many companies know how to incorporate 'engagement' into their marketing strategies let alone measure and monitor it.

According to eBay's latest Online Business Index, despite a tough year in 2009, the majority of internet retailers have experienced an increase in sales and profits while expanding their business. However, 79% of those with bricks and mortar businesses claim they could not have kept their high street presence alive without being online at the same time.

Neil Saunders of Verdict concluded: "Traditional bricks-and-mortar shops cannot afford to ignore the potential growth opportunities available online. Consumers are increasingly demanding a wider choice of products at competitive prices, alongside improved customer service levels. With the 2020 tipping point approaching, these businesses should be looking to the internet to meet their customers' needs."