Wednesday, June 08, 2005
Amazon, Netflix Most Successful in Internet Sales
Amazon.com, the online bookstore turned Internet department store, ranks as the most successful retailer in cyberspace, according to a survey of electronic marketing. ForeSee Results, a research company in Ann Arbor, Mich., found that Amazon not only raked in the biggest amount of online sales last year, but it also ranked second in terms of browser satisfaction, which according to the company predicts how likely a client will be to make a return visit and generally indicates how satisfied customers are with their Internet shopping experience.
ForeSee, which specializes in analyzing customer-satisfaction management, surveyed 1.6 million online shoppers in the United States and found the company that scored highest, according to its browser-satisfaction index, was Netflix, the online-rental DVD provider. It scored 85 out of a possible 100, even though it only ranked 17th in overall sales volume.
Amazon.com ranked second on the satisfaction scoreboard, tied with television-shopping network QVC, which both scored 84, followed by Newegg.com, the computer and electronics seller, and LL Bean, the outdoor equipment retailer -- again in a tie and both scoring 82. In terms of sales volume, computer-maker Dell ranked second, while office-supply store Office Depot ranked third, even though their satisfaction score only reached 77 and 75, respectively.
Online shopping is "here to stay, no matter what sector," said Dan Freeman, an assistant professor at the business department of the University of Delaware. Freeman said there is no major consumer segment that does not use the Internet, even though older consumers are likely to be more wary of giving out credit-card numbers online for purchases. "There's really no particular product" that would not be a good item to buy online these days, Freeman told United Press International, adding that Web site shopping was particularly convenient for giving gifts or making purchases when stores are closed. ForeSee's chief executive agreed.
"People are having much better Web experiences than they did a couple of years ago," Larry Freed told UPI. He said most of the growth in the retail industry has been in Internet shopping over the past few years, rather than in the traditional stores. Also, Freed said, companies that have focused solely on catering to their online clients, such as Amazon.com and Netflix, tended to provide better Internet shopping experiences, with everyone in the company, from the chief executive on down, focusing on Web sales.
Even traditional retail outlets, such as Gap and Pottery Barn, cannot afford not to offer online shopping, he said. "The [shopping] Web site gives stores larger exposure," Freed said. "Without it, they're at a disadvantage." He added that customers often conducted product research online, even if they did not buy via the Internet, or they browsed in actual stores but made their final purchases on the company's Web site. "The Web by itself is not the answer to all things," Freed said, "but it's indispensable now for every retailer."
Brought to you by the Guardian eCommerce Safe Site Privacy Seal Program.
ForeSee, which specializes in analyzing customer-satisfaction management, surveyed 1.6 million online shoppers in the United States and found the company that scored highest, according to its browser-satisfaction index, was Netflix, the online-rental DVD provider. It scored 85 out of a possible 100, even though it only ranked 17th in overall sales volume.
Amazon.com ranked second on the satisfaction scoreboard, tied with television-shopping network QVC, which both scored 84, followed by Newegg.com, the computer and electronics seller, and LL Bean, the outdoor equipment retailer -- again in a tie and both scoring 82. In terms of sales volume, computer-maker Dell ranked second, while office-supply store Office Depot ranked third, even though their satisfaction score only reached 77 and 75, respectively.
Online shopping is "here to stay, no matter what sector," said Dan Freeman, an assistant professor at the business department of the University of Delaware. Freeman said there is no major consumer segment that does not use the Internet, even though older consumers are likely to be more wary of giving out credit-card numbers online for purchases. "There's really no particular product" that would not be a good item to buy online these days, Freeman told United Press International, adding that Web site shopping was particularly convenient for giving gifts or making purchases when stores are closed. ForeSee's chief executive agreed.
"People are having much better Web experiences than they did a couple of years ago," Larry Freed told UPI. He said most of the growth in the retail industry has been in Internet shopping over the past few years, rather than in the traditional stores. Also, Freed said, companies that have focused solely on catering to their online clients, such as Amazon.com and Netflix, tended to provide better Internet shopping experiences, with everyone in the company, from the chief executive on down, focusing on Web sales.
Even traditional retail outlets, such as Gap and Pottery Barn, cannot afford not to offer online shopping, he said. "The [shopping] Web site gives stores larger exposure," Freed said. "Without it, they're at a disadvantage." He added that customers often conducted product research online, even if they did not buy via the Internet, or they browsed in actual stores but made their final purchases on the company's Web site. "The Web by itself is not the answer to all things," Freed said, "but it's indispensable now for every retailer."
Brought to you by the Guardian eCommerce Safe Site Privacy Seal Program.
