Hi,
Valeriu is here. As you know, we are close to the most profitable period of a whole year. Yes, it's time for Christmas shopping!
Are you ready to take your share? If not, take a look at what you're misssing...
According to Carrie A. Johnson Forrester Research analyst, Santa will bring this year a boom to the internet profits:
"Despite growing concerns over consumer confidence and the impact of gas prices, online sales will rise by 25% this holiday season to hit $18 billion. Although the Web will certainly feel the effect of these negative offline trends, the sheer number of new online shopping households and the lure of free shipping for these shoppers will sustain online sales through the end of December."
But what people will buy online this season?
eMarketer report called "What Women (and Men and Teens)Want" reveal some interesting information. Take a look at this chart and learn:

What about teenagers? A recent Consumer ElectronicsAssociation (CEA) study polled 502 teens between the ages of 12 and 17 and found that portable audio players were also the most wanted consumer electronics gift this holiday season. Fully 17% of kids surveyed cited these as desired gifts.
Video game consoles, computers, gaming devices and mobile phones were also popular. Non-consumer electronics gifts, like clothing and CDs, were also quite popular.
Sean Wargo, CEA's director of industry analysis, notes: "CDs in particular stand out as a reminder of the remaining importance of the shiny disk format as the preferred medium for music, despite the strong growth of online music services and teens' predilection for MP3."
Want a full overview of trends leading into this year's holiday season? Read eMarketer's Holiday Shopping report, available on eMarketer's web site.
Still not conviced by the power of online shopping? Read on...
Teens and young adults love game, music, fashion and sports sites, according to David Card, vice president and senior analyst for New York-based Jupiter Research who helped write a trio of reports that examined the online behavior of teens aged 13 to 17.
Other findings of the Jupiter report show that teenage girls spend 22% more time online than boys. Teenage boys, however, spend 150% more time playing online games than teenage girls.
If you want to advertise to the young adult market, it would be wise to develop a multi-media campaign that encompasses TV advertising as well as online promotions, Card says. Music and cartoon cable networks as well as regular programming that appeal to youth would be good places to start.
Matt Britton, executive vice president of marketing for Mr.Youth Consulting, a marketing firm that advises retailers in appealing to persons aged 12 to 24, declaire:
"But while hip is good in selling to youth, so is simplicity. Sites have to be kept simple and devoid of clutter... Teens have a short attention span and they want instant gratification. If they have to spend too much time at your site to get what they want, they’ll go elsewhere."
Despite the economic side effects wrought by Hurricanes Katrina and Rita, Retail Forward expects the 2005 holiday season to be a healthy one for the key retail sectors.
"E-commerce will continue to represent the fastest growing retail sector this holiday season, propelled by retailers becoming more aggressive online and consumers growing more comfortable with virtual shopping," states Steve Spiwak, Retail Forward Economist.
"Retailers that can tie the convenience of shopping online, particularly during the busy holiday shopping season, with the benefits of a local store presence will be best positioned to boost online sales during the holidays," he adds.
Wow! What a great Santa will have this year... I have some more interesting info regarding the online sales on 2004.
According to experimental statistics from the latest annuale-commerce survey, published by the Office for National Statistics (ONS), the value of internet sales rose81% in 2004.
The value of Internet sales by businesses rose to £71.1 billion in 2004, an increase of 81% on the 2003 figure of £39.3 billion.
The results of the 2004 survey show growth in the use ofInformation and Communication Technologies (ICTs) and large increases in the value of trade over the Internet.
The results also highlight significantly greater use of ICTs by the largest businesses (those with 1000 or more employees) and show that saturation is being reached by these businesses in the use of some ICTs, such as having a web site or having a broadband Internet connection.
Other key findings of the survey include:
- The value of internet sales to households rose to £18.1 billion in 2004 from £10.8 billion in 2003, a rise of 67.6%.
- 6.7% of businesses sold over the internet in 2004 (5.4 % in 2003) while 35.3% made purchases over the Internet in 2004 (29.4% in 2003).
- Internet purchases by businesses rose 64.6%, from £37.9 billion in 2003 to £62.4 billion in 2004.
As reported in the Retail Bulletin this week, mail order retailers are stealing a march on high street competitors by embracing click campaigns and sponsored links on Google.
Only 61% of retailers used Google AdWords and major high streetstores such as Gap, TopShop, French Connection and Body Shophad no campaigns at all. Of those that did, 37% had poor follow through, with visitors landing on pages with no matches, non-specific categories or the home page.
That's it for the moment. Don't forget to open the door forSanta's online profits!
"Stay Hungry. Stay Foolish."
Valeriu