E-Commerce Challenges Traditional Stores

December 20, 2012

E-Commerce Challenges Traditional Stores

From VOA Learning English, this is the Economics Report in Special English.

Americans are buying more products and services than ever before through the Internet. And experts say the popularity of online sales is likely to spread to other countries.

Online sales now represent as much as one-tenth of all retail sales in the United States. This has led traditional stores to seek new ways to keep their customers loyal.

Lynne Shaner used the Internet to buy everything she needed for her wedding and holiday gifts for her husband and step-daughter. Other than food, 90 percent of her purchases were made on her home computer.

“I find that, by being able to go online and choose the things that I need to choose, and have them delivered to me right at my doorstep, I eliminate all the driving, all the crowds, all the noise of that, and I usually get a better selection.”

There are a lot of people like her. Experts say American online shopping hit records in both November and December. Fifty-seven percent of Americans have bought something electronically.

Store owners worry that this growing amount of online sales will hurt their business. Cornell University marketing professor Ed McLaughlin says they should be worried. He spoke to VOA by Skype.