Online credit card payment processing pages have allowed retailers to find an inroad towards entirely new consumers, across the globe, who they can sell their products to. In fact, online shopping has become such a major part of the retail sector that businesses that once went bankrupt and closed are now re-opening as organizations exclusively dedicated to e-commerce.
For instance, a recent report from Fashionista detailed how Loehmann’s – a retail outlet that had already gone bankrupt and closed – would soon be reopening as an online store exclusively. The company is seeing new opportunities in the e-commerce sector that were not available to it when it was a brick-and-mortar retailer. For example, the company plans to use “emerging forms of media,” such as mobile applications and social media websites, to help it attract a new glut of customers.
“Research tells us the younger customer shops online,” said Charles Koppelman, founder of the organization that’s in charge of re-launching Loehmann’s, according to the news outlet. “They want to have a dialogue with brands about what they want to see and what brands they want. We are going to talk to them, helping with the product and brand selection. They will tell us what they want and help us with our buying.”
Other outlets are also getting a second wind thanks to online shopping
However, it’s not just once-closed retailers that are benefiting from the increases in online shopping among the consumer base. Many established retailers fighting back against slowing in-store sales are finding that the key to solving their conundrum is to focus on the online shopping sector more directly. Burberry, for example, recently reported that its total revenue had increased by almost 20 percent across the past six months – with much of that growth coming thanks to e-commerce.
“We are pleased with our second half performance, with total revenue up 19 percent and retail sales up 13 percent, underpinned by the planned increase in investment in offline and online retail, innovative customer service and marketing,” said Angela Ahrendts, chief executive officer at Burberry.
The company’s press release announcing the revenue increase noted that “digital outperformed in all regions,” illustrating how online commerce is helping to breed worldwide success for struggling or stagnant retail outlets. The company also announced it would be investing significant funds into its online retail offerings.Back To Blog