Recessions sure aren’t what they used to be. Not only do prices go up, as consumers’ resources dwindle, but now, according to this article in the San Jose Mercury News “No Economic Slowdown on the Internet,” consumer spending is still strong – on the internet. Ed Garrubbo, chairman of the Electronic Retailing Association, says online sales have jumped 17 percent in the first quarter of this year! So where are our recession laden consumers, burdened by near $4.00/gal. gas prices, getting all this online spending cash? Perhaps online gambling, but that’s a story for another day.
Robert Atkinson, president of the tech think tank Information Technology and Innovation Foundation, not only predicts continued growth for online commerce but also says that personalized online ads are the “economic rocket fuel” stoking the fires of this growth. The interesting thing is that he goes on to warn that efforts of Congress and the FTC to protect consumer privacy could have the unintended consequence of throwing water on the flames.
Hmmm. My privacy or the US economy? Regardless of which camp you reside in regarding online targeting and consumer privacy, there’s little doubt that improved technologies for targeting and optimization provide better ROI for advertisers, increase revenues, and, yes, perhaps even provide a more personalized and meaningful consumer experience. OK, I admit it. I really would like to know when that bed I’ve been eying at Overstock goes on sale. And if that news came in the form of a banner ad on my Yahoo! Home page that said “Hey Layne, your platform bed is on sale!”, I might even be OK with that. But that’s just me.
-- Layne Salter
It's true that despite the recession it seems that the online shopping habits of consumers have not declined that significantly.
Posted by: wowgold | March 11, 2009 at 10:06 AM