UK retail contrast to other countries

Author: Robin Bevan

Categories: Online Shopping, Physical vs Online, Retail in Different Markets
Tags: Amazon, Javelin Group
Robin Bevan: "Really, the interplay between non-store channels and the store channel are increasing all the time and they’re becoming increasingly important.  And that’s probably particularly true in the UK.  So one of the slightly unusual characteristics of the multichannel retail world in the United Kingdom is that well, first of all, a higher percentage of spend from UK consumers goes online than compared with any country at the moment, including the United States, for several very good reasons.  But a big, big proportion of those online sales are driven by store based retailers.  And that’s not necessarily the case in other countries.  So in France for example, it’s much more binary, so you’ve got the store retailers on the one hand and you’ve got the pure play dot com retailers on the other.  So a lot more sort of, if you like, adversarial relationship between the e-commerce channel and the stores channel.  In Germany it’s sort of traditional catalogues/home shopping businesses that dominate online, so again slightly more adversarial with stores.  In the UK it’s not developed that way.  So yes, we have businesses clearly like Amazon, pure play businesses of real scale that are very important.  But if you look at the majority of operators that take big sales online, they’re generally store based retailers."
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