20% increase in Parcel Postage create by Online Purchases
This week, the Royal Mail has reported a 20% increase in the amount of parcels that they are delivering this festive period compared to last year. Some may see this as somewhat strange that people are buying more and sending more this Xmas than last because of the recent credit crunch and the forever increase in fuel prices. However, it is not that people are spending more, it is down to the change in consumer behaviour from offline to online. Hold onto your hats people, let me explain more!
With more sales and purchases being processed online people are spending money but aren’t walking away with the goods instantly in hand. Therefore, they are having to rely more heavily on the delivery of products. Does this mean, therefore, that with the ever increasing presence and influence of the internet there will be more and more demand for the postal service? Will Royal Mail cope or will other third party courier services like DHL, UPS, Fedex etc be able to overrun them? There is no doubt that, with increasing number of searches going through online each year, there is going to be more spent online thus more postage needed.
Whereabouts on the internet does the increase aspire from?
Internet searches are ever increasing. With more and more people advertising through PPC and from SEO, users have an abundance of choice like they would at the local shopping centre, but without having to move out of their chair! In addition to this there are other areas like increased email advertising, banner advertising
and video advertising which the latter is set to be a big hit by 2009, especially amongst the high spending MNCs like General Motors (Ford), Sainsbury’s, Tesco, and Cadbury’s just for example.
In 2008 and 2009 we are preparing to see a new digital age emerge where a lot of advertising spend will be transitioned from TV advertising to online. Why? Because through the medium of online you can reach far more potential customers. You can also reach far more targeted listeners, readers, or viewers of the product or service that you sell. Plus, you can get far more direct response, i.e. sales straight from the advertising that come straight through to the website and yet another online purchase has been made.
You will notice that we are becoming an overweight and lazy nation. The hit children’s TV show Lazy Town is actually where we all live today. Our dependency on the internet is becoming more rife every year and without it we would be lost. More and more money is being spent online because it is the easy option. Why else?
