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Denmark homeshopping market: Rise of internet retailing industry forecast to hit homeshopping growth
Homeshopping in Denmark - a new market research report on 2014-03-12 04:29:01
The leaders in the Denmarket homeshopping market, in particular Bon´A Parte, TV-Shop and Ellos, all have in common that they have employed a multichannel retail strategy, making their goods available through the internet, mail order and telephone channels. They have successfully integrated internet retailing with homeshopping, presenting their full product lines in online catalogues, and sending out printed catalogues with their newest collections. At the same time, orders can be placed through the most convenient means for consumers.
In 2012, homeshopping once again recorded a steep decline, falling by 7% in current value terms. The competitive advantages of homeshopping were eroded by the forceful expansion of internet retailing. As online stores provide greater convenience benefits and lower prices, they were increasingly preferred over old-fashioned and sometimes intrusive homeshopping. Homeshopping operators responded by going online and adopting a multichannel strategy.
As internet retailing is expected to increase by 37% over the forecast period in constant value terms, the prospects are bleak for homeshopping. Web stores are expected to offer increasingly advanced functionality, more user-friendly interfaces and more favourable delivery and returns terms. Accordingly, it will be very challenging for homeshopping to claim any competitive advantage over internet retailing and retain its sales. It is thus forecast that homeshopping will decline by 44% in the forecast period 2012-2017. Should internet retailing develop faster than expected, it will pose an even stronger threat to homeshopping, and increase the rate of decline in this channel.
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