American ecommerce expected to grow significantly over next four years

Ecommerce in the United States has been steadily increasing over the past few years, as both consumers and retailers have taken advantage of the convenience that the channel provides. And it looks like online sales won't be declining anytime soon, as recent research has revealed that ecommerce will continue to be a preferred way of shopping for many customers throughout the country.

Internet Retailer reports that according to a study by eMarketer, purchases made through the internet are estimated to reach $434.2 billion in 2017. This represents a 14 percent compound annual growth rate, and is a significant boost from the $258.9 billion that eMarketer forecasts will be generated through ecommerce this year.

The research pointed out that while consumers will continue to use computers to browse for and buy products, mobile devices will play an increasingly important role in the rise of ecommerce. The source notes that by 2017, one-quarter of sales made online will be done through smartphones and tablets. For 2013, that figure is expected to account for 11 percent of purchases.

To help process a growing number of transactions and ensure their speed and accuracy, retailers can adopt point of sale software. This technology allows businesses to keep track of their finances and provides customers with a reliable method of payment processing.

The popularity of tablets is changing mobile commerce behaviors

The use of mobile devices for researching and purchasing retail products has grown significantly over the past few years as consumers have utilized smartphones and tablets to get their shopping done. These gadgets gives individuals the ability to browse for and buy items no matter where they are and what time of the day it is. This has presented merchants with a plethora of opportunities for reaching out to consumers, improving retention and building loyalty.

While both devices are being used by customers for these purposes, one gadget is steadily gaining ground over the other when it comes to popularity – tablets. Shoppers are taking up tablets more so than smartphones to  interact with retailers. This means that businesses need to make the move now to implement technology and solutions that accommodate tablet consumers. This can come in the form of point of sale systems, targeted marketing messages and loyalty programs, among other elements.

Tablets bring in sales for retailers
According to a recently released report by J.D. Power and Associates, tablets are increasingly being used to access merchants' websites and purchase products and services. The study looked at individuals who own both a tablet and a smartphone as well as those who share their tablet devices with at least one more person in their household.

For the former group, the research revealed that these consumers spend 36 percent more time browsing ecommerce sites on tablets than on their smartphones. Of the owners surveyed, more than half (51 percent) share their devices with at least one family member.

So what do these findings means for businesses? For one, the amount of time that individuals spend on tablets should be considered when merchants are developing marketing and loyalty strategies. Companies will want to make sure that the content and other elements they deliver are optimized for tablets and that their ecommerce platforms allow for effective navigation for shoppers. As for devices that are shared, analyzing the data of individuals that utilize these shared tablets will be key to creating successful marketing and loyalty programs.

Internet Retailer reports that research from Adobe Systems revealed that while smartphones are still used for browsing, comparing and purchasing items, tablets are used more frequently for these tasks as they provide larger screens as well as easier navigation features. Smartphones, on the other hand, are utilized by potential patrons for faster processes, like looking up stores' locations or researching merchandise prices.

Ecommerce making its mark on UK retail industry

Ecommerce has been spreading throughout the globe, and many retailers have adapted to the trend by implementing solutions that encourage customers to go online to browse for and purchase merchandise. Internet and mobile shopping is expected to increase in the coming months and years as patrons take advantage of the convenience and ease the channels provide.

Internet Retailer reports that a study by Capgemini and Interactive Media in Retail Group revealed that ecommerce grew significantly in the United Kingdom in March. The findings for last month were compared with the ones from the same time a year prior, and the research discovered that there was a 16 percent jump during that time period. This includes purchases made from computers as well as smartphones and tablets. In this year's first quarter, the ecommerce trend increased 15 percent year-over-year, the source explains.

However, just because U.K. consumers are going online to shop in larger numbers, retailers should also aim to incorporate technologies into their brick-and-mortar locations to attract patrons. Biz report notes that research from Sponge found that 76 percent of U.K. merchants are not offering free Wi-Fi in their stores. This is something that could deter device-carrying shoppers from entering these locations, as many individuals like to use their smartphones when visiting physical storefronts.

Ecommerce could help boost stagnant Canadian retail sales

The Canadian economy has been struggling the past few years since the recession took hold of the northern country. Further compounding this tough situation is the fact that retail sales throughout the nation have been less-than-stellar. However, conditions are slowly improving, and analysts believe that gains in ecommerce could help propel Canada's economy to full recovery.

In an article for The Huffington Post, Elaine Mah, director for Intel Corporation Canada, explains that retailers need to adopt ecommerce platforms now or risk losing out to competitors. Mah cites several studies which found that, while Canadian merchants are aware of online shopping solutions, many aren't doing enough to leverage the technology for their benefit, mainly for boosting sales. Therefore, she asserts that more needs to be done in terms of implementing ecommerce systems into retail operations, especially as consumers now prefer to shop through the internet.

If companies incorporate these solutions, this could provide significant growth for Canada' economy. Retail sales have been performing better than expected recently, reports The Canadian Press. Data from Statistics Canada revealed that in January, sales amounts grew by 1 percent, accounting for $38.9 billion for the month. However, analysts remain cautious and urge businesses to see how they fare in the near future before declaring a full recovery.

Slow website loading times can cost retailers valuable customers

Consumers are going online in increasing numbers these days to browse for and purchase items from retailers' websites. For this reason, businesses are putting more focus into creating attractive and easy-to-navigate online platforms, as this is one way to boost retention and establish loyalty. However, recent research has revealed that many retail websites are experiencing slow loading times, which in turn is resulting in dissatisfied shoppers and, ultimately, drops in customer retention.

To combat this unfortunate trend, companies need to ensure they have the most effective technology for their sites. In addition, regularly testing these online platforms can pinpoint any problem areas, such as lagging load times and other issues, that can then be brought to businesses' attention, giving them the chance to correct the situation before it causes problems for web patrons.

Top retail sites see slow loading
According to a recently released study by Radware, between December 2011 and 2012, many of the top retail sites' loading times slowed by 22 percent, highlighting a significant performance issue that could lead to declines in customer satisfaction and retention. In addition, the median load time for these analyzed sites stood at 7.25 seconds. This is longer than the three seconds that the average online shopper is willing to wait before moving onto another merchant's platform, the research discovered.

"The fact that the median site has slowed down by 22 percent in just one year should be alarming for retail site owners," said Joshua Bixby, vice president of application acceleration at Radware. "This is a massive drop in performance. If this slowdown rate goes unchecked, we will see median load times of 9 seconds or more, which is simply unacceptable for online shoppers. As pages continue to grow bigger and more complex, site owners need to take aggressive steps to mitigate this growth."

Online sites growing in importance
Complicating the issue of ensuring that retail websites load effectively and in a timely manner is the fact that customer satisfaction relies heavily on how well companies' online platforms appear and how easy they are to use. Internet Retailing reports that a study ForeSee discovered that retailers' websites scored a 74 on a 100-point satisfaction scale. While this figure is positive, there is more to be done in terms of enhancing online shoppers' experiences.

Having attractive displays, fast processing times, easy browsing functions – and, of course, quick load times – are all ways that retailers can improve their sites and customer experiences.

Australian consumers looking for more ecommerce solutions from retailers

It may seem as though countries across the globe have fully adopted ecommerce platforms, as consumers are now going online more than ever to browse for and purchase items. However, some merchants in Australia are lagging behind when it comes to web shopping, and they could risk losing customers if they ignore the technology much longer.

Writing for the Herald Sun, Jessica Irvine explains that Australians are taking to the internet to buy all kinds of items – appliances such as refrigerators, clothing, groceries, electronics and a variety of other products. As retailers in all industries are impacted by the growing demand for ecommerce, it only makes sense for these businesses to provide solutions to make customers' web shopping experiences more pleasant. Irvine cites the NAB Online Retail Index, which found that in 2012, Australian consumers spent a total of $12.8 billion online, representing a 23 percent year-over-year increase.

If retailers make the move now to implement ecommerce processes, it could give a big boost to the nation's retail sales. Reuters reports that findings from the Australian Bureau of Statistics revealed that retail sales grew 0.9 percent in January, the biggest jump in four months. Adopting ecommerce strategies will only help merchants increase their revenues.

Ecommerce sites more likely to boost retailers’ online sales than apps

There's an app for pretty much everything these days, as consumers are increasingly using smartphones and tablets to perform a variety of daily tasks. Mobile applications have even made their way into the retail industry, as many merchants – especially big-name brands – have developed apps for their shoppers. However, recent research has found that many customers prefer to use ecommerce websites instead of applications for researching and purchasing products. For companies, this means that more focus needs to be put on developing effective ecommerce sites to boost online sales. While apps may still be beneficial for retailers, websites are proving to be where consumers are going, so creating strategies for managing both could be the key to success.

Attractive design and ease-of-use improve ecommerce
MediaPost reports that according to a recent study by Siteworx, 65.7 percent of consumers prefer to access merchants' websites on their devices for shopping rather than mobile apps. One of the reasons for apps lagging behind ecommerce sites was that shoppers need incentives to download them, such as special offers, discounts and other deals. Many companies are not providing these aspects, leaving their apps unsupported.

The news source notes that even if retailers are discouraged that their mobile apps are not generating the interest they had hoped for, they should instead focus their attention on improving their websites to draw in mobile traffic. Uploading information, pictures and demonstration videos pertaining to merchandise, which of course are optimized for mobile devices, can help shoppers with their purchasing decisions, further boosting online sales. Making transactions faster and more secure are other ways that businesses can ensure their ecommerce strategies see success, as these are elements that consumers are looking for when buying items through their smartphones and tablets.

Ecommerce set to get bigger
Although websites are the main factor of mobile commerce for retailers, overall online sales for companies are expected to climb significantly this year. Internet Retailer cites a study by Forrester Research, which estimates that purchases made through the internet, whether on mobile devices or computers, will reach $370 billion by 2017. The research firm also forecasts that for 2013, ecommerce sales will jump 13.4 percent from last year, coming to a total of $262 billion.

Making efforts now to improve ecommerce sites will only help retailers accommodate consumers who prefer to go online for shopping purposes.

UK retailers falling behind on mobile-optimized websites

Smartphones and tablets are quickly changing the way that consumers browse for and purchase retail merchandise. Many merchants throughout the globe are adopting strategies and solutions to accommodate these shoppers, mainly through websites that are optimized for mobile devices. However, recent research has found that businesses in one part of the world are falling behind when it comes to offering these options for consumers shopping through their smartphones and tablets.

British-based retailers have catching up to do
A report from Skava revealed that while all of the U.S.-based Top 100 retailers currently have mobile websites for consumers available, only 50 percent of the Top 100 U.K. retailers do. It is not a question of demand, as European shoppers are using smartphones and tablets just as much as Americans are. Throughout the European continent, purchases made from mobile devices account for 1 percent of retailers' revenues, but research from Forrester estimates that this is growing at a rate of 43.1 percent.

Skava's study points out while the websites of British companies are able to viewed through mobile, if they are not optimized, consumers can have trouble viewing many components on the smaller screens of their smartphones and tablets. If retailers want to bring in revenue from mobile commerce, they need to act now to develop their sites for shoppers' mobile devices.

"A number of factors encourage and inhibit the adoption of mobile commerce … consumer trust, the convenience and value proposition of mobile shopping, the ease of payment and the availability of products at the right price," said Martin Gill, Forrester analyst, as quoted by Skava. "European eBusiness executives in many countries have been slow to provide mobile-optimized experiences and these factors – both supply and demand – will continue to limit the opportunities."

How to ensure effective mobile websites
For retailers that are not sure how to begin their mobile website strategies, Right Mix Marketing suggests that businesses start by analyzing their desktop websites first to determine how many visits they get from smartphones and tablets. Asking device-carrying customers what they want on these platforms is one way to make sure merchants are offering elements that shoppers are looking for. In addition, frequently reviewing the appearance and performance of mobile sites is one way to make improvements and recognize strong points.

Canadian retailers may want to focus on their ecommerce platforms

Canada has been experiencing many ups and downs since the economic recession, and recent findings from two different studies show that while overall retail sales decreased in December, Canadian consumers are increasingly going online to purchase items. This means that to boost sales, merchants should put more effort into making their ecommerce platforms more effective.

The Financial Post reports that research from Statistics Canada found that throughout December, retail sales dropped 2.1 percent. This follows five consecutive months of slight increases. The sales figures for the last month of 2012 are the biggest drop since April 2012, the source reports. Weaker price gains also contributed to the declines in retail sales, and some analysts are predicting that growth will continue to be painfully slow in the coming months.

On the other hand, businesses got a boost in sales from ecommerce purchases in 2012, as research from comScore revealed that Canadian consumers are taking to the internet to browse for and buy items. Internet Retailer reports that the study discovered that spending through retail websites reached $22.3 billion last year, representing a 9.9 percent jump from 2011. Transactions also increased, coming to a total of 105.3 million in 2012 compared to 90 million the previous year, the source notes.

Ecommerce is prevalent, but needs exceptional service, offerings

It's no surprise that retail websites are fast becoming a preferred method of shopping for many consumers, and this trend is helping to boost merchants' revenues and customer retention efforts. To keep this success going, businesses need to focus on offering exceptional experiences for web patrons.

According to a recent survey from CouponCabin, one of the biggest perks that retailers provide to internet shoppers is free shipping. However, this may become more difficult for companies to offer this year, as major shipping carriers have announced they will be increasing their prices by 5 percent, which will in turn be passed on to merchants and ultimately, customers. On the other hand, CouponCabin found that even though shoppers know these additional expenses will impact them, 51 percent stated they are "neither more or less likely to shop online."

Although retailers will have to determine how they will handle these shipping increases, there are other steps they can take to boost their ecommerce customer service, which will help enhance their retention and loyalty efforts. Business 2 Community suggests that merchants provide shoppers with instant updates on their purchases, as well as offer quick and easy options for consumers to contact companies to resolve any issues.