Amazon Shouldn’t Be Blamed For The Retail Apocalypse
Amazon and the rise of online shopping have been repeatedly blamed for the staggering rate of store closures and bankruptcies disrupting the retail industry in the US. But e-commerce accounts for only a small fraction of the problems pushing many American retailers to the brink of death, according to Doug Stephens, a retail-industry consultant. “It’s mathematically impossible for it to be Amazon’s fault,” Stephens said. Online sales are growing rapidly — up 15% in the most recent quarter compared to 4% for total retail sales. But total e-commerce sales account for just 8.5% of overall retail sales in the US. The other 91.5% of purchases are still made in brick-and-mortar stores, according to the US Census Bureau. So what’s sending mall and store traffic plunging, if most purchases are still made in stores? Read more at Business Insider.
