Amazon sales continue to soar as ‘bricks and mortar’ retailers including the iconic IKEA struggle
Some perhaps unsurprising news this week that Amazon sales soared over the festive season, rising 21% from the previous year, in sharp contrast to weakness reported by many other retailers. The e-commerce juggernaut said it earned $87bn (£66bn) in sales in the last three months of 2019, well ahead of analyst expectations. Yes, so far so predictable.
Perhaps less predictable is the news this week that IKEA is looking to close its first ‘big’ store in the UK in recognition of the changing retail landscape. The bottom line here of course is that online retailing continues to thrive while many traditional ‘bricks and mortar’ retailers continue to either struggle or disappear completely.
Even the mighty Amazon is impacted by this seismic shift in customer behaviour. While figures suggest the behemoth enjoyed more than a third of the entire the US e-commerce market last year and almost 10% globally, quarterly sales at its physical stores, including its Whole Foods grocery shops, declined 1% compared to the previous year.
Talking of seismic shifts our Future of the Contact Centre conference next Thursday Feb 13 will be highlighting the huge changes taking place in the customer contact sector with brands as diverse as British Gas, Vodafone and Booking.com presenting case studies. Look forward to seeing you at this must attend event.