US E-Commerce Set To Reach $434 Billion By 2017, Retailers Can Use Couriers

Many have been watching the growth of e-commerce over recent years and has not slowed down. It's growth is currently at an average of 16% per year. E-Commerce sales appear they will continue to do so in the years to come as well. Experts have now put numbers to their findings and show they will reach very high by 2017.

According to eMarketer Incorporated, e-commerce sales will reach $434 billion by 2017 reported Internet Retailer. The projection is at a compounded annual growth rate. 2013 sales are expected to reach $258.9 billion. This is up from sales for 2012, which ended at $225.5 billion. This is also an increase from 2011, which was 15.8% at $194.7 billion. They project the numbers will taper off yearly and will be as the following: 14.6% in 2014, 14.2% in 2015, 13.6% in 2016 and 12.8% in 2017.

The report discussed how mobile devices are weighing in as a key component to the projected online growth. EMarketer has find that currently smartphones and tablets are accounting for 11% of e-commerce sales. They project by 2017, mobile devices will steadily grow, and they will account for 25% of all e-commerce sales. This is a large percentage considering this means one fourth of all e-commerce sales shoppers will perform transactions on-the-go, at home, or somewhere else. This shows shoppers will continue to seek convenience and speed to get their online purchases in their hands.

Web sales increase will be largely seen in the category of computers and electronics. These categories will account for $56.8 billion in 2013, equating to 21.9% of all e-commerce growth. Apparel and accessory categories will also rank as being on high online demand by shoppers. They will reach $54.2 billion this year, which equates to 20.9% of web sales this year. Shoppers have products they are looking for on the web and will be cross-shopping to get the deals they are looking for, especially with knowing there will always be a deal available if they purchase online.

Web traffic has a lot to do will the forecast as well. There is an increased online traffic for retail giants like Amazon in 2012, where online traffic grew 3% in the fourth quarter at 115 million. Macy's online traffic grew 11% in the fourth quarter at 118 million. There certainly appears to be a trend that e-commerce is steadily growing and consumers are more comfortable shopping online. With the increase of e-commerce, many online retailers such as Wal-Mart, eBay, Nordstrom's, Target, and more are testing same-day delivery for their e-commerce sales to offer the components of online shopping customers are looking for.

A same-day courier like A-1 Express can assist retailers capitalize on the e-commerce growth. This nationwide courier is able to develop a courier logistics solution that fits the online delivery needs of retailers. As e-commerce continues at this fast pace, an optimal delivery system by a same-day courier will be just what e-retailers need to compete through 2017 and beyond.

Reference: 4.25.13, Internet Retailer, Allison Enright, U.S. e-commerce sales could top $434 billion in 2017

Senate May End Tax-Free Online Shopping, Lower Costs With A Same-Day Courier

Online shopping is growing at a very fast pace. From mobile phones to ipads, people have become more comfortable with shopping online in the recent years. There are a number of issues that have risen regarding online business and one of those is online sales tax.

Currently, states collect sales taxes only if the e-retailer has a physical store within that particular state. However, based on the beginning debate regarding the issue, this could very well change. Yahoo News reported an online sales tax debate has started this week, after the Senate passed a test vote yesterday. The Senate passed the test bill by a wide margin of 74 to 20. With this level of support continuing, the real bill could actually pass as early as this week.

Instead of online sales being tax-free for online retailers and having an advantage over brick-and-mortar stores, supporters feel it will level the playing field. "I believe it is important to level the playing field for all retailers," said Senator Mike Enzi, Republican of Wyoming, who sponsored the bill. "We should not be subsidizing some taxpayers at the expense of others." It will generate lost revenue on the state level. Also, President Obama supports the bill as well.

Opposers of the bill feel it will impose complicated regulations on retailers. EBay is one of them. To rally opposition to the bill, EBay president and CEO stated, "I hope you agree that imposing unnecessary tax burdens on small online businesses is a bad idea. Join us in letting your Members of Congress know they should protect small online businesses, not potentially put them out of business." Others in opposition are Senators representing states that have no sales tax.

EBay wasn't the the only online giant mentioned in the report. Amazon also weighed in and is in favor of the bill. "Amazon.com has long supported a simplified nationwide approach that is evenhandedly applied and applicable to all but the smallest volume sellers," Paul Misener, Amazon's vice president of global public policy wrote in a letter to senators. The bill will ultimately bring more revenue to the states in which the shopper lives in. Businesses that make less than $1 million per year will be exempt for the bill.

Whether the bill to end online tax-free shopping passes or not, e-retailers will need to continue to seek for ways to manage their costs. One way is using same-day delivery. Same-day courier services like A-1 Express are a viable option keep their shipping costs down, in the event online sales taxes do increase. This Dallas courier can perform same-day deliveries at a lower cost because of route optimization and transportation expertise. A-1 Express can create a courier logistics solution specific for any online retailer's same-day delivery needs.

Reference: 4.22.13., YahooNews, Stephen Ohlemacher, Senate bill jeopardizes tax-free online shopping

Lower Gas Prices This Summer, Use Courier For Same-Day Deliveries

Gas prices have fluctuated upwards over first few months of the new year, and many have been hoping they would lower. As Summer approaches, we are finally seeing gas prices turn around and show some signs of life. It has now been reported gas prices will get cheaper in the months to come.

It has been forecasted by the Energy Information Administration that we will pay less at the pump this coming Summer reported CNN Money. The agency estimates the average price for gas will roughly $3.63 per gallon. This beats out the average around this time last year of $3.69. The EIA even projects cheaper gas prices next year, which we could very well experience a full-year average price per gallon of $3.39. This would definitely make many drivers and transportation companies very happy.

One reason prices will be kept low is due to more fuel efficient cars on the highway. Another reason is the increase in oil production in North America. The economic recovery of the US will more than likely be aided by the cheaper gas prices. Consumers will be able to have more money for spending this summer. This will also affect lower traveling costs for consumers and airlines. The affect of gas could be just what the economy needs to make a big leap for the the remainder of the year.

This highest year average on record for the US was in 2012 at $3.69 per gallon. In 2008, the US experienced its' most expensive driving season with an average of $3.81 per gallon. AAA also reported the highest daily price on record of $4.11 a gallon on July 17th that same year. The current national average for gas is $3.58, which is down from $3.69 last month. California and Hawaii have the highest current average, toppling over the $4 mark.

Gas prices decreasing is great news compared to a couple of month ago. In February, the price of gas increased for 32 consecutive days. The national average of almost $3.75 per gallon and analysts forecasted the prices could impact the US economic recovery. Known oil producer Brent Crude Oil reached its' highest oil price in nine months at $119.17. Along with projected oil production shortages, many felt gas prices could eclipse $5 per gallon this Summer.

With gas prices getting cheaper, businesses can continue to save on their transportation costs by using a courier. Same-day couriers like A-1 Express are a viable option instead of using employees for daily deposits, part distribution and time-sensitive deliveries. Even with lower gas prices, this Charlotte courier can perform same-day deliveries at a lower cost because of route optimization and transportation expertise. A-1 Express can create a courier logistics solution specific to your same-day delivery needs.

Reference: 4.9.13., CNNMoney, Chris Isidore, You'll pay a little less for gas this summer

CVS Creates Virtual 3-D Drugstore App for Online Shopping, Will Offer Same-Day Pick Up

CVS is one of the largest drugstores in the US and many people enjoy being able to not have to drive far to reach one. Their location strategy has brought huge competitive advantages and their new app created appears to be just another tool to help the longevity of their success.

CVS has developed a virtual 3-D drugstore application for Apple's iPad that shoppers can use reported Internet Retailer. The application offers a layout just like a actual CVS store, in which customers can use right from home. Shoppers can browse a CVS store through virtual aisles for an array of products and services. They can also manage their own prescription accounts. This creates a value-added service for those who may be ill or enable to commute to the the physical store.

The new app comes with many tools customers can use to shop relative to their prescriptions. Customers can scroll through their prescriptions, schedule refills, and view them for pick up. Caregivers can manage prescriptions for multiple patients at the same time by sorting by patient and refill status. Through the app zoom function, patients can also read their prescription labels right from the virtual store for any prescription details and information they need.

Brian Tilzer, senior vice president and chief digital officer, appears to be very pleased and excited about the new app. He stated, “About a year ago, we began to notice more and more significant traffic from tablet devices and decided we needed to start thinking about providing an easy-to-use experience geared towards iPads. Early on the plan was to create a 3-D virtual store that would feel intuitive to navigate as our customers are so familiar with our store layout. Our plan is to continue to test, refine and augment the app. Customers should check back for updates to this app as additional safety features and interactive functionality will be launching later this year.”

The emergence of mobile commerce is at the core of this new app being so attractive. Online business is growing at 16% annually and shows no signs of slowing down. More shoppers are using mobile devices such as iPads, iPhones, and more to make their purchases. This appears to be the first drugstore app of its' kind. CVS loyalty program customers can manage their rewards and coupons from the app as well.

Many companies have begun initiatives enabling their customers to pick up their online orders. Target, eBay, Macy's, and more are currently testing same-day delivery in various markets nationwide, along with pick up options. Wal-Mart will be testing an in-store locker system for online orders, in which shoppers will and come pick up their products from local participating stores. With the continual growth of e-commerce and mobile shopping, a sound delivery system will be a value-added service for customers who desire to have their products delivered also.

Whether CVS or other drug store companies, same-day courier services like A-1 Express can assist with a same-day delivery solution to meet their customer pick up needs. This New Jersey Courier could partner with CVS as a delivery option for customers, caregivers and patients that aren't able to pick up their store prescriptions themselves. A-1 Express is an experienced, professional courier servicing over 1,500 clients, including Fortune 500 companies with courier logistic solutions.

Reference: 3.28.13. Internet Retailer, Katie Deatsch, CVS takes its drugstore to the tablet

Sears Competes With Amazon With Fulfilled By Sears Program, Can Use Same-Day Courier

Many retailers are making changes in the way they do business, especially with the emergence of e-commerce and mobile retail. Order fulfillment initiatives are being sought after to meet the high online demand, not only from customers, but also between retailers. Sears is one example of a retailer rolling out a program that will meet the retailer order fulfillment demands and it just might work.

Internet Retailer reported that Sears Holdings will be launching Fulfilled By Sears Program. The program is designed to offer online and offline fulfillment services to other retailers in the US. It is going to be available to retailers who sell via Sears.com. “We have the ability to ship orders much faster and more cost-effectively than other sellers do based on our national footprint of stores and warehouses,” said Corporate Executive Vice President Imran Jooma. The Fulfilled By Sears is going to be a great move for Sears to increase their sales, as they take on expanding into warehousing services.

The new program will offer a pay-as-you-go service for all their retailers. This type of service will allow retailers to incur no fees unless they are storing product in the warehouse facilities. There will also be fees that will slightly differ for merchants that sell on Sears.com, from those that process orders outside of Sears.com. Both will have fees ranging from 45 cents to 60 cents per cubic foot. Merchants will enjoy a $1 per item pick and pack fee. However, outside client retailers will pay a $3 pick and pack fee. Merchants will pay a $39.99 monthly Sell on Sears plus sales commission to Fulfilled By Sears.

Fulfilled By Sears will provide shipping for their retailers as well. There will be an order-handling fee of $1.50 for ground, $7.50 for two-day shipments, and from 45 cents to $1.90 for next-day shipments. The higher fee for two-day shipments will be due for any air shipments retailers require for their order fulfillment. Their client retailers will have to handle having their product shipped to the Sears' fulfillment center.

Most notably about Fulfilled By Sears is it will be in competition against online giant, Amazon, which provides the same type of fulfillment services for their client retailers. Amazon has built distribution centers throughout the US and is set to roll out more this year. Many experts believe Amazon is gearing up to one day provide same-day delivery to its' customers in areas where it makes sense to do so nationwide.

Same-day couriers like A-1 Express can assist Fulfilled By Sears and its' retailers create a courier logistics solution. Whether is same-day shipping locally or long distances, the Miami Courier is able to pick up anything from small packages to palletized freight and deliver any distance from any fulfillment center throughout the US. A-1 Express is a viable partner for just-in-time inventory in local brick-and-mortar stores and can offer superior product return order fulfillment programs as well.

Reference: 3.22.13, Internet Retailer, Paul Demery, Sears rolls out the Fulfilled by Sears program for other retailers