Every year Internet Retailer publishes a report which ranks top web vendors based on the number of clients they serve in various categories. In the 2015 Leading Vendors to the Top 1000, two things were abundantly clear: vendors with highly specialized capabilities experienced the most growth and social media marketing was the fastest growing vendor category. It is important to note that several merchants fit into more than one category. Vendors ranked in the report grew their retailer base from 8,991 in 2013 to 12,764 in 2014, an overall rise of 42 percent.
On the Internet today, in order to attract and service their clients, web merchants are using more specialized commercial applications. Companies are investing more in ecommerce technology in order to develop very specialized areas of focus such as content delivery or social media marketing. Vice president and information technology analyst at Gartner Inc., Gene Alvarez, noted that leading web merchants possess sophisticated ecommerce systems that successfully service the demand their sites generate.
“Most of the big retailers and established web merchants have very capable core ecommerce systems in place that allow them to process ecommerce transactions efficiently,” said Alvarez, according to Internet Retailer.
As per the report, in 2014, social media marketing had a customer base that grew by 1,072 percent to 129 retailers. As evidenced by the numbers, customers responded well to personalized web interfaces that made their shopping experiences easy.
“What online shoppers really want these days is a very personalized and convenient experience, and it’s the retailers that are investing in better technology to meet those customer expectations that will survive and grow,” added Alvarez.
Many vendors experienced growth in their client accounts because other online retailers came to them for their technology and service provider expertise. An example of this is Google Analytics, which is free for individuals, but costs $150,000 per year for the premium edition. Large online retailers use Google Analytics to drive up their own sales, but also generate sales for Google, which, according to the 2015 Leading Vendors to the Top 1000, is the leader.
Online retail sales grew by 16 percent in the second quarter of 2014. Web merchants are increasingly investing in ecommerce technology. Of those who participated in the survey by Internet Retailer, 87 percent reported that they plan to increase their spending on technology related to ecommerce. It is clear that most sizable web merchants in the U.S. are quickly expanding their capabilities with content delivery, web analytics and search engine marketing.Back To Blog