E-commerce revolution has driven discounting change
Here’s the latest news from Microsoft by Dan Smith. He said that the e-commerce revolution has changed the way discounting is applied to brands.
Director of fashion e-tailer theOutnet.com Stephanie Phair claimed that discounting is something that “used to happen in friends and family sales, sample sales or in bricks and mortar outlets 25 miles away from the flagship”.
She claimed that brands used to maintain their image within the confines of their retail state and discounting was “something very separate”, but the internet has changed this situation as it “demands transparency”.
“At the same time if you look at the consumer, thanks to the internet and shopping online, the consumers have changed the way [they shop],” Ms Phair said.
Referring to the fashion industry in particular, she suggested that trends have also altered, making discounted clothing more acceptable.
“Suddenly, vintage was the way to shop and eBay became a treasure trove for vintage. There was an evolution there and previous season became acceptable and cool,” she added.
According to the IMRG Capgemini e-Retail Sales Index, Britons spent £4.2 billion online in October 2009.
However, statistics show that market growth dipped significantly during the recent postal strikes.