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Changing Shopping Habits Hurt Retail

Ed Townsend - Columnist
Posted 1/6/20

The headlines are showing that U.S. shoppers spent more online during this year's holiday shopping season.

According to Mastercard Inc. e-commerce sales hit a record high.

The holiday …

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Changing Shopping Habits Hurt Retail

Posted

The headlines are showing that U.S. shoppers spent more online during this year's holiday shopping season.

According to Mastercard Inc. e-commerce sales hit a record high.

The holiday shopping season is a crucial period for retailers and can account for up to 40% of annual sales.

But this year Thanksgiving, which traditionally starts the U.S. holiday shopping period, was on Nov. 28, nearly a week later than last year's Nov. 22, leaving retailers with six fewer days to drive sales between Thanksgiving and Christmas. E-commerce sales hit a record high this year with more people doing their holiday shopping online.

Online retailers invested heavily to provide same-day delivery and the holiday season was challenging for retailers after Amazon expanded its free return policy.

There is no doubt that retail is hurting as e-commerce has been expanding for more than a decade, thanks largely to product accessibility and availability.

Large retail stores like Toys R Us, Payless Shoes, Footlocker, Bed Bath & Beyond, Staples, Macy's, Sears-Kmart, JC Penny, Radio Shack and others have closed down stores.

Experts say that retailers have been struggling to keep their heads above water and that department stores have been on the decline for more than two decades.

Smart retailers that provide new models and strategies like better customer service that benefits buyers overall will continue to grow.

How much shopping do you do online?

Ed Townsend provides year around "Beyond The News"coverage in this column with over 60-years of photojournalism analysis and insight. The column can also be read on his Web blog at http://bght.blogspot.com

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