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28th July 2008
Independent retailers 'set to benefit from online sales boom'
Small retailers and wholesalers are most likely to benefit from the booming online market, a report has suggested.
The Times cited a report from IMRG, a trade body for online retailers, which suggested internet sales in the UK jumped 38 per cent in the first half of 2008.
Michael Petevinos of Cap Gemini explained to the paper that there was a growing body of evidence that consumers were headline online in an effort to mitigate rising petrol and food prices.
He added that the online business model was particularly effective for smaller niche retailers.
"Setting up online gives you a much greater reach for your products and at much lower cost," Mr Petevinos told the paper.
"It has completely changed the proposition for many smaller retailers and suppliers."
David Smith of IMRG said that he agreed with Mr Petevinos, commenting: "It is often the smaller retailers with niche products or with interesting retail propositions that seem to be having success."
He suggested that it was vital online retailers carefully managed their supply chains and secured the best possible deals with their wholesalers if they wanted to make the most of the boom in online sales.
(c) 2008 Adfero Ltd.
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