-Tailing Trailings"> E-Tailing Trailings
By Laura Lorek
If you want to talk about pressure, you need only look at the e-tailing space. A number of e-tailers have downsized and some have gone, or are going, out of business. Many online retailers are cutting back on their lavish giveaways and curtailing their TV and print ad campaigns. Meanwhile, offline retail giants such as Kmart, Target and Wal-Mart Stores are making serious Web plays.
Another blow to pure-play Internet retailers is that Internet shoppers in September spent $8 less on average than they did in August, despite an increase in the overall number of online shoppers, according to the National Retail Federation and Forrester Researchs Online Retail Index. Not a good sign as online and offline retailers head into the critical holiday shopping season.
Still, e-tailing king Amazon.com remains undaunted. The company recently released earnings that beat analysts estimates. The online superstore reported revenue of $638 million, a 70 percent increase over the same period a year ago. The company is, however, still losing money. It posted a net loss of more than $240 million.
Amazon CEO Jeff Bezos is optimistic, though. "We expect this will be our best holiday season ever," he says.