With the holiday shopping season already in full swing, the all-important question is once again being asked: “Which retail brands will be winners in 2016?” As in recent years, all eyes will be on the battle between brick-and-mortar retailers and e-commerce sites. E-commerce has certainly seen a strong increase in market share over the past years, growing from 9.9% of total retail sales for 2013 to 11.3% for 2015. That growth is projected to continue this holiday season.
Retailers have responded by investing in their own e-commerce sites. And yet any retailer will tell you Amazon is the biggest threat to holiday success this year. In fact, Amazon, the largest online retailer in the U.S., accounts for about 25 to 40% of sales growth, compared to 9% from Walmart, the largest retailer with physical locations.