What is eCommerce?
The ecommerce industry is exploding in the last decade, but it has a long way to go before it can be compared to the traditional retailing model, according to a report from ecommerce market research firm KPMG.
In a Q&A with Ars, the firm’s CEO, David Coyle, discussed why ecommerce is so different from the traditional marketplace, as well as why the market isn’t as big as the traditional store model.
“What ecommerce offers is a platform that’s different,” he said.
“If you look at any other type of retail business, they all offer something, but the way they do it is different.”
While KPMg’s report offers a general overview of the industry, it focuses on specific companies.
While many of the companies in the ecommerce space are relatively new to the retailing game, the group doesn’t shy away from the fact that ecommerce hasn’t been around for very long.
“[Ecommerce] is a new business,” Coyle said.
“[We] see a lot of companies who are starting to emerge, and it’s not a brand new business.”
While ecommerce isn’t the only marketer offering a platform for online retailing, it’s a much more mature one than the traditional, brick-and-mortar retailing sector.
While the eCommerce industry has only recently emerged from the ashes of its retailing predecessor, it has established itself as a leader in a variety of areas.
KPM G has found that most of the major players in the market are already familiar with the concepts behind ecommerce, which is why it’s so important to have an understanding of the e-commerce ecosystem before you dive in.
Keter, a data-driven business intelligence firm, has created a dashboard that lets you easily view a variety the e commerce companies are working on.
While most of its offerings are geared toward specific industries, it can help you understand how the industry is evolving.
It’s also helpful if you want to compare how other industries are evolving.
The report also notes that most ecommerce companies are focusing on creating “bespoke” products and services that will help their businesses sell more products to a wider audience.
That’s an important part of the ecosystem, which could mean that you might see more products on Amazon than you do on your own store.
“There are a lot more companies out there than there are people,” Cogle said.
But while ecommerce may have a relatively small footprint compared to brick- and-mortars, the company isn’t necessarily lacking for expertise.
For example, Keter says that more than half of its data comes from outside of the U.S., while a large chunk of its research comes from other countries.
In addition, KPM has found a lot is being made of the fact ecommerce sales are growing at a steady rate, which means that e-tailers have a lot to offer in terms of product customization.
But even as ecommerce has emerged as a dominant force in the retail industry, its potential to become a bigger part of retailing is still in question.
“Ecommerce has the potential to be as big and as important as the physical retail industry in the future,” Coker said.