Some Big Brands Still Aren’t Ready to Sell Online

Dior store

In order to survive and thrive among today’s ever-connected consumer base, it’s crucial that brands have a digital presence and there’s a wealth of data proving the importance of being online.

So why are some labels—mostly in the luxury segment—still eschewing e-commerce in favor of more traditional sales methods?

In a word, they’re not yet set up to embrace the online channel and they don’t want to present anything less than a perfect digital persona.

So said Salsify, a Boston-based product content management solution, which recently recruited Echo Cove Research to ask 200 people with e-commerce responsibilities at major consumer brand manufacturers about whether they’re ready for the next phase of online selling.

Only 25 percent of those surveyed said their organizations are ready to adapt to future shopping channels. Likewise, only 29 percent of respondents agreed that their companies know how to capitalize on the growing e-commerce and mobile commerce markets.

With that being said, e-commerce is clearly top of mind for most:

• 40 percent of brands not currently selling through their own e-store will start doing so in the next two years
• 80 percent of brands plan to sell more SKUs through their own website
• 73 percent plan to sell more items through major online marketplaces
• 75 percent of brands plan to sell more on major retail sites

However, while 89 percent of those surveyed said their companies could stand to improve their product content management process, only 41 percent agreed that this was a top priority.

Moreover, only 43 percent of respondents think that shoppers spend based on content, yet a recent study by ComScore and United Postal Service (UPS) found that 73 percent of consumers cited detailed product information as the number one factor in the search and selection process when buying online.

“It is becoming clearly evident that to remain competitive and agile in today’s omnichannel world, brands need to pay special attention to what consumers need when they’re shopping online,” said Jason Purcell, co-founder and CEO of Salsify. “We are finding more strikingly than ever before that product content is core to the consumer experience. This research shows that companies addressing this need are more prepared to meet the challenges of new channels and consumer demands.”


Recent News

Retail Roundup: Target Hits Snooze, Amazon and Warby Parker Test New Models

Print PDFPrint PDFWhen times are tough, companies are more willing to test new ideas and Target, Warby Parker and Amazon are pushing the boundaries of traditional retail. Target gets in bed with Casper After failed attempts at an acquisition, Target has instead invested in Casper...

This content is for Annual, Monthly and Limited members only. You can read up to five free articles each month with a Limited Level Subscription. Please log in, or register.
Log In Register
Read more

J.Crew to Get Cheaper as Drexler Admits to Missing the Mark

J.Crew has been shifting in its seat trying to adjust to a new normal of shrinking sales and growing debt, but nothing has quite yet paid off, so the company is cutting its prices.

This content is for Annual, Monthly and Limited members only. You can read up to five free articles each month with a Limited Level Subscription. Please log in, or register.
Log In Register
Read more

Around the Web: Kid’s Apparel, Bankruptcy Comebacks and “Made in China’s” New Face

This week, consumers called for better children's apparel, retailers turned internally to remedy their financial woes and apparel incubators improved China's manufacturing sector.

This content is for Annual, Monthly and Limited members only. You can read up to five free articles each month with a Limited Level Subscription. Please log in, or register.
Log In Register
Read more

Infographic: What do Consumers Really Think About Sustainability Anyway?

Whether and how much consumers care about sustainability may be an ongoing question the industry wants an answer for, but one thing that’s clear is that though some consumers do care, sustainability isn’t the first thing they think of.

This content is for Annual, Monthly and Limited members only. You can read up to five free articles each month with a Limited Level Subscription. Please log in, or register.
Log In Register
Read more

Shuffle Board: Gymboree Taps Former Tilly’s Exec as CEO, J.C. Penney Hires New EVP, Wolford Creative Director Exits

Gymboree tapped former Tilly's executive Daniel Griesemer as its new CEO, JC Penney appointed Marci Grebstein as its new EVP and Wolford creative director Grit Seymour is leaving the company.

This content is for Annual, Monthly and Limited members only. You can read up to five free articles each month with a Limited Level Subscription. Please log in, or register.
Log In Register
Read more

Senate Committee Advances American-Made Products Act

Aiming to clear up potential conflicts with state laws, the Reinforcing American-Made Products Act now moves to the full Senate for consideration after the chamber’s Commerce Committee gave approval to the measure.

This content is for Annual, Monthly and Limited members only. You can read up to five free articles each month with a Limited Level Subscription. Please log in, or register.
Log In Register
Read more