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Basic online presence not enough for retailers - PC Retail

Basic online presence not enough for retailers

Retailers must deliver better user experience – PowaWeb
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More than £733 million was spent online during May in the UK, but online growth has started to slow down.

According to the Office for National Statistics (ONS), ecommerce now accounts for 12 per cent of sales, growing 7.4 per cent year-on-year and continuing to beat the rest of the sector, which grew only 2.5 per cent.

But that amount has dropped by 2.1 per cent from April to May, so says the ONS.

With sales dropping, cloud-based ecommerce solutions company PowaWeb warns retailers that a basic online presence isn’t enough, and that they must improve their user experience to entice customers back.

Andy Muldoon, CEO of PowaWeb, said: “Shoppers have been flocking online in recent years, and simply maintaining a basic ecommerce presence has previously been enough to scoop up a huge number of customers and ensure rapid growth.

“However, we have begun to see a turning point in the industry, with overall sales growth cooling even as the number of retailers online increases.

“Merely existing online is no longer enough – retailers have to ensure they are able to stand out from the intense competition and deliver a compelling service that captures repeat customers.”

This news comes after analyst Gartner revealed that worldwide IT spending has declined by 5.5 per cent.

According to Gartner the decline has been due to the rising US dollar, with IT spending expected to reach a total of $3.5 trillion.

Image source: Shutterstock

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