Do You Need a Brick and Mortar Establishment for Your Online Business?

Online store and brick and mortar store

So many companies strictly operate on line and haven’t even considered a brick and mortar establishment.   They have long since become convinced that there are so many benefits and perks to the online business that there is no justification in taking on the expenses that would be generated with an on land business.

Actually this may not be true, however it mostly depends on the type of business you run.   Online business is booming but it is lacking some critical components that are needed for the success of some businesses.

Some companies that need client interaction with their product may not do so well online, as many think.   Yes, it is true that online shopping stats are continuously growing.   What has to be taken into account though is where is the majority of this growth taking place in respect to the different industries?

On the whole we are still very much feel and touch consumers.  Often when we shop online we perceive our purchases as being almost sight unseen.  In some industries this is not a good thing.   One very prominent industry that recognizes this as something that has to be watched carefully is the apparel industry.  A good number of shoppers still want to try on their prospective purchases.  For avid apparel buyers they will often use their internet as a resource for seeking out clothing shops near them, and perusing what they have to offer, but will not make their actual purchases online.

Some of the common problems with clothes shopping online of course is the fit.  There are so many brands of clothing available that just knowing your size doesn’t work anymore.  There are a lot of fluctuations in sizes amongst the brands.

Then another issue is what looks good on the model on the website doesn’t mean it is going to look the same on you.   It may not hang properly or cling to where it should for your particular body style.

Next is the color.  If you have a good graphic board in your computer then you may get a pretty accurate view of the color of the item you are looking at, but it may still disappoint you when it arrives.

The biggest hassle comes with having to return the items that are not what you wanted.   You could have used the same time actually going out and shopping to get exactly what you expected.

These are some of the challenges that just this one industry alone is addressing, and for this reason many of them are backing up their booming online business with brick and mortar locations.


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Sam Seidman, CPA, CA, LPA
629 Sheppard Avenue West
Toronto, Ontario
M3H 2S3

Telephone: (416) 398-1700
Fax: (416) 398-6226

Chartered Professional Accountant, Chartered Accountant, Licensed Public Accountant


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