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October 29, 2010

Small firms online sales up by almost a fifth on 2009

Small businesses selling online increased their revenue by 18 per cent in the third quarter of the year on 2009, as consumers searched for internet bargains, ecommerce firm Actinic has claimed.

A survey by Actinic of 200 small firms trading online also found that the average number of orders processed increased by 13 per cent in the third quarter of this year on the same period last year.

Actinic managing director, Nick Kington, said online sales have risen due to the convenience and increased choice of shopping online, as well as customers’ ability to search quickly for the best-value product.

“In the current climate, if you are looking to save a few pennies or to find the best-value product, the bigger the choice that is accessible to you, the better,” he said. “Shopping online gives customers access to a large range of retailers and products. So, in some ways online retailers are benefiting more from the current climate.

“The firms that offer a good choice within their chosen sector and provide good customer service are doing the best,” he added.

Kington added that small retailers need to keep “upping their game” in the run-up to Christmas by concentrating on customer service. “In the Christmas period, the online market will be very competitive, so they need to keep focused and deliver what they promise, on time,” he said.

Business owner Rob Mobberley who runs online car products retailer Performance Motor Care, said that the firm’s marketing and customer service helped it increase its revenues by 28 per cent in the third quarter compared to the past year.

“The focus for us is maintaining a high level of customer service to encourage repeat orders,” he said. “We have used social media, including Twitter and Facebook, to engage with our customers, given advice and guidance on our products, and introduced customer reviews and feedback so website visitors can make more informed purchases.”