The Online Retail Sector Today

 Online retailing segment, although smallest
segment of retail industry (3%), is growing at
exceptionally fast rate (25% per year)
 Online retail revenues: $137 billion, 120 million
consumers estimated for 2007
 Although Internet user growth has declined, the
average annual spending per user has
increased, from $675 in 2003 to $1,123 in 2007
 Primary beneficiaries of growing consumer
support: Established offline retailers with an
online presence (e.g., Staples, Wal-Mart, Office
Depot, Best Buy, Sears) as well as first mover
dot-com firms e.g., Amazon Newegg)