Gifts Today magazine

Retailers 'cannot afford to take online growth for granted'

A basic online presence is no longer enough to overcome faltering sales growth, says ecommerce company.

More than £733m was spent online in the UK in May, but with sales dropping month-on-month, retailers must ensure they have high end visibility and user experience if they are to continue to grow sales.

ECommerce now accounts for 12 per cent of all sales according to the latest figures from the ONS, growing 7.4 per cent year-on-year and continuing to easily outstrip the rest of the sector, which grew only 2.5 per cent.

However, online growth has begun to slow, and the amount spent dropped by 2.1 per cent from April to May.

“Shoppers have been flocking online in recent years, and simply maintaining a basic eCommerce presence has previously been enough to scoop up a huge number of customers and ensure rapid growth,” said Andy Muldoon, the CEO of leading cloud-based ecommerce solution PowaWeb.

“However, we have begun to see a turning point in the industry, with overall sales growth cooling even as the number of retailers online increases. Merely existing online is no longer enough – retailers have to ensure they are able to stand out from the intense competition and deliver a compelling service that captures repeat customers.”

PowaWeb has empowered leading brands around the world with a suite of cloud-based SaaS (software as a service) solutions. Hoover, a major global manufacturer, saw an incredible doubling last year of revenue through their sites thanks to PowaWeb’s market-leading expertise in driving web traffic and converting to sales.

The company, part of Powa Technologies Group which includes the mobile payments solution PowaTag, works with more than 250 companies around the world, and has expanded its operations to meet the unprecedented industry demand. Andy Muldoon was recently announced as CEO for PowaWeb after serving the group as Global Head of Client Services at Powa for the past 18 months.

PowaWeb’s SaaS-based solution enables brands to quickly and easily create a powerful online retail presence that can be scaled to accommodate rapid international expansion. The pioneering platform was one of the first to achieve PCI compliance in 2008.


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