Future of online shopping in the UK
Since online shopping has achieved its massive popularity among customers, the high street retailers of the UK have been struggling to sustain their businesses. Many probable reasons have a cumulative effect for this consequence to occur which includes an increased impact of higher business rates on smaller companies along with large chains of retails exceeding their capacities to effectively meet the demands that come with the constant change in the market trends. The high street faces the most significant challenge from the rise of online shopping whatsoever. The British Retail Consortium has reported the eradication of almost 85000 retail jobs in the United Kingdom from October 2018 to October 2019. A sudden change in the customer perspective has transformed their outlook on high street retailers.
Will the high street shops close?
The Guardian reported in the year 2017, that there is an increasing trend in the world, for the working class to spend their income on excellent customer experiences rather than focusing the expenditure on goods alone. Customers frequently resort to online shopping when they are willing to purchase goods and products rather than physically travelling to stores. A recent report has stated that approximately nineteen per cent of all retail sales taking place in the UK is accounted for by online shopping. As per the statistics, this number shall increase to fifty-three per cent within the next decade. Customers find it easier to avail of online shopping while staying within the comfortable confines of their homes or not having to change their current locations. Around the world, 1.92 billion of the global population now shops online.
Future of Online Shopping?
The online presence of any brand gives it a significant competitive advantage over brands that do not have a digital identity. Without a digital identity, customers will not know about your brand’s presence. Brands are identifying the advantage of an online presence and experiencing the benefits of the same. They have realised the convenience and time efficiency of conducting business online rather than through physical retail stores. These factors have cumulatively led to the growth of online retailing.
The retailers have embraced the digital advancements and the modifications that they brought with them. Retailers are also willing to update themselves and their services to keep up with the constant changes and updates of digital technologies. Impulse buying habits of online shoppers have also fueled the need for retailers to adopt a more digital approach, and this customer behaviour will pose importance for a considerable amount of time. Generation Y will have said to account for 30 per cent of all retail sales in the year 2020. Retailers will also have to consider factors like social media marketing while planning their business strategy. Customer behaviour change has introduced into the retail business, a wide array of opportunities which if appropriately utilised by brands will eradicate the need for traditional offline shopping.