I can definitely attest to this trend, as my wife has been doing more to "boost the economy" by doing some shopping at local retail outlets. But seriously, I have noticed a surge in people headed to the malls, stores and boutiques. People just aren't staying in the house and taking this economy laying down...they are trying to do something to stimulate it. I am proud to be apart of that movement.
Re: Is the internet affecting retail sales?
TelecomFreq
4/14/2011 10:02:38 AM
With the trend moving towards online retailers, does anyone see a sector of retail that will thrive in a brick and mortar environment?
Re: Is the internet affecting retail sales?
ProfR
4/14/2011 9:42:25 AM
I agree with this. There is clearly a shift from buying at department stores to sites like Amazon and Zappos where purchases are now made online rather than at brick and morter stores.
ProfR
The spending is expected to continue to spread to the home improvement market that was completely decimated by the housing bubble and luxury good providers are seeing the best increases since before the recession. I would question whether this spending is pent up demand or simple frustration with a long hard season of economizing. Are Americans just spending in spite of the bad news to feel better about things they simply can’t change $4 gas devalued homes and shrinking incomes. When the reality hits will it all crumble or will the growth in the stock market fuel our next spending spree?
Re: Is the internet affecting retail sales?
TelecomFreq
4/14/2011 12:07:41 AM
Without a doubt Internet sales are hurting brick and mortar sales, but retail is retail is it not? Wouldn't online sales count as retail sales? I would think so anyway, but I am by no means an expert on retail.
Interesting that declines were at "car dealerships, department stores, and miscellaneous retailers" as I think these are the segments most effected by the long-term trend for more and more retail transactions to move through the internet.
My last car was purchased through the internet and i think Autotrader, Cars.com and ebay are on a long-term trend that doesn't bode well for traditional sales. Likewise for department stores - who are often starting with a 5 to 10% disadvantage just because of state sales tax.
The blogs and comments posted on Investor Uprising do not reflect the views of Investor Uprising, PRNewswire, or its sponsors. Investor Uprising, PRNewswire, and its sponsors do not assume responsibility for any comments, claims, or opinions made by authors and bloggers. They are no substitute for your own research and should not be relied upon for trading or any other purpose.
Tweet This