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E-commence vs Physical Stores

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Most people know that new sales online have been increasing.  In 2018, e-commerce increased 14.2% from 2017. The increase has been steady for years while we see retail stores struggling with stores closing in large numbers. This includes large retailers like Kmart and Sears but also involves smaller stores in strip malls. 

However, an interesting statistic is that, though retail sales in brick-and-mortar stores have been stagnant while e-commerce has increased; the increase is clearly at the expense of growth that would have occurred in traditional stores.  It is also true that while traditional stores have suffered decline, there is still a tremendous amount of retail activity. Over 90% of sales are still conducted through traditional storefront locations.

 


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