The rise and rise of Amazon!
If ever there was an example of good idea that needed time and money to be developed, Amazon is it! Even now, they do not have the profitability of a very successful retailer (this year will be less than 3% of revenue). However, everyone thinks the concept will prove lucrative.
These Amazon guys always understood that ordering product on the internet instead of ‘going shopping’ in the traditional sense would be popular as long as it was well priced and simple. Time poor, cash rich Westerners now spend $11 billion a year via this company whose sophisticated trading platform allows themselves (and all manner of other partner companies) to offer their product successfully.
However, Amazon beware, many retailers are now adding more cleverly an informational and transactional website to their Bricks & Mortar business. When they learn how to do that in an integrated way, so their consumers can shop online and offline seamlessly, Amazon will have much greater competition than it has right now. Consumers prefer multi-channel. That is not the Amazon way!