There is opportunity for tremendous growth within the Canadian online shopping space.
Toronto, Ontario (PRWEB) May 22, 2013
Canadian retailers, for the most part, have been slow to invest in eCommerce technology and time for them to do so may be running out, according to a recent report by Forrester Research. “There is opportunity for tremendous growth within the Canadian online shopping space,” says Parry Rosenberg, vice president of sales at MONEXgroup, one of Canada’s leading independent payment processing companies. “Companies that ignore or under-invest in this area risk losing loyal customers, who will eventually look elsewhere for a convenient and simple online shopping experience.”
The Forrester report revealed that 25% of online spending by Canadians already goes through international websites and that Canadian shoppers are growing more comfortable with cross-border buying. Retailers in the US, Europe, and UK have spent the last few years developing robust eCommerce platforms and processes and are able to provide an integrated experience that combines intuitive product search software, flexible shipment or in-store pick up options, online product ratings and reviews, and personalized value-added services to shoppers. This holistic approach touches on every point in the customer lifecycle and sets a new standard for service that all retailers will be measured against.
“Canadian consumers are widely regarded as technically savvy,” says Rosenberg. “But with relatively few retailers to choose from, limited inventory, and inconsistent shipping options, many Canadians are beginning to buy from US-based retailers who have an online presence instead of their Canadian counterparts.” Online payment processing companies like Monex offer merchants a range of virtual and eCommerce payment options that make entry into this space as easy and low-risk as possible.
The results of the Forrester survey have significant implications for Canadian retailers who hope to compete with American and other foreign-based businesses that process payments online. Of those surveyed, 68% of online shoppers had shopped at a webstore outside of Canada and of those, 72% said it was because they were unable to find what they were looking for from a Canadian site. A further 59% of respondents indicated that price was a factor in their purchasing decision.
With its stable economy and relatively low unemployment rate, Canada is an attractive market for foreign-based retailers and with the country’s lack of investment in eCommerce, foreign retailers are set to win big at the expense of Canadian retailers.