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Holiday Surfing
Dateline:
Sept 13, 1999


It's that time of year when surveys try to uncover from new and experienced Internet users just how much of their holiday shopping they plan to do online. One thing is apparent, many people are planning to do at least some of their shopping online this holiday season.

Last year, an online survey conducted by World Research revealed that Internet users more than doubled their online holiday spending during the 1998 holiday season. These numbers continue to rise, especially among women. By April 1999, the number of Internet shoppers purchasing online was 40 percent more than nine months earlier, according to a survey by Commerce-Net and Nielsen Media Research.

It is important to note that there is still a significant distinction between online "shoppers" and online "purchasers." Shopping is described as using the Internet to research and compare the prices and features of products and services.

The Commerce-Net and Nielsen Media Research survey indicated about 55 million North Americans, about 60 percent of that region's Internet users, were shopping online. Of those 55 million shoppers, only 28 million actually purchased online.

The number of shoppers is impressive for relatively new shopping method, but the difference between shoppers and purchases is an important distinction for retailers. After all, you only make money if someone purchases.

Since only 51 percent of North American Internet shoppers, or 31 percent of users, actually made a purchase online, the online retailers who can learn to turn shoppers into purchasers stand to generate significantly more sales volume.

Many of the Internet users that are purchasing online are buying low ticket, familiar items, according to another study by CDB Research & Consulting, reported by CyberAtlas. Of course the holiday shopping season hasn't started yet, but this trend is likely to continue through the end of the year. Many shoppers still want to see the item before they buy. Although shoppers who have placed catalog orders make the switch to Internet ordering with greater ease.

One of the most frequent concerns of holiday shoppers is getting online ordered items to their doorsteps in time for Christmas. After problems with delivery by overwhelmed e-tailers during the 1998 season, shoppers fears are warranted.

Some Internet retailers, seeking to avoid the nightmares of last year have partnered with mail-order experts like Fingerhut and Hanover Direct. Leveraging the warehousing and logistical experience of mail-order companies in getting holiday packages to their shoppers in time could make all the difference between satisfied customers and outraged ones, according to Interactive Week.

Are you prepared for your holiday customers? Will your Web site, customer service, and distribution system be able to handle the load?

Copyright © 1999 by Melody Treece Vargas. All rights reserved.

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