small business

The biggest players in e-commerce, eBay and Amazon, whose market cap has plateaued in the last three years, predict lackluster financial performances in the upcoming years. Smaller retailers online, however, have been increasing growth, points out Sarath Samarasekerea, CEO of Shopster.com, a web service that powers over 1,500 online retail stores.

A recent study from JupiterResearch suggests that smaller retailers will have an opportunity in the upcoming recession. Eighty-seven percent of online shoppers visit multiple sites before making a purchase, according to a recent study by JupiterResearch. Ninety-five percent of heavy shoppers — defined as those who spend an average of $2,203 over the last year — spend their time comparison shopping. This has opened up opportunities for smaller e-commerce players, which is reflected by the overall growth of the e-commerce industry and the lackluster growth of the biggest e-commerce entities like Amazon and eBay.

“While it has become apparent that consumers offline flock to the big box stores for one-stop shopping and ease of use, consumers online are more comfortable shopping around, comparing price and turning to specialty stores,” said Samarasekera. “The major e-tailers will continue to thrive, but it’s clear that there is a vibrant market for specialty players online.”