Do Consumers Trust the Internet?

Consumer Trust Has Risen Over the Last Five Years
As recent as 2 weeks ago, while interviewing someone regarding a website for their catering business, I was told that the owner didn’t see a need for online ordering because people don’t trust the internet enough to give their credit card information online. While that may have been true once upon a time, this is no longer the case.

A study conducted in March 2000 showed that 17% of online users were comfortable enough with the security of the Internet that they were willing to do their banking online. A second study, conducted in November 2004, shows that percentage has risen to 53%.

Online retailers saw a 24% increase in sales in 2004; growth through 2005 is expected to achieve another 22%. Compare that to an increase of only 7% for traditional brick & mortar stores over the last year and you can see that consumer confidence is growing.

Combine that information with the fact that brick and mortar locations are making more in house as a result of online services. A study conducted in early 2005 shows that more people are doing research online before stepping into a store to buy products. For every $1.00 spent online the average shopper conducting online research before buying spent $1.60. Upon arriving at the store these same shoppers spent an average of $200 more on products they didn’t research online.

Are Small Businesses Profiting From the Internet?

In a survey conducted by ACNielsen in early 2004 51% of the respondents indicated that the Internet has improved their profitability, 58% said the Internet has helped their businesses grow or expand. Fully one-third of the survey participants, sell goods and services online, and 15% said the Internet is essential to their survival. Of all the small businesses surveyed, 28 percent have been operating between 10 and 19 years; 35 percent have been operating more than 20 years.

Is My Target Market Online?

With nearly 75% of people in the United States using the Internet, who is the online market?

Internet Access Penetration
(U.S., Home)
Females     ~     35-54        ~        81.70%
Males     ~     35-54     ~     80.20%
Females     ~     25-34     ~     77.00%
Males     ~     25-34     ~     75.60%
All     ~     2-17     ~     77.60%
All     ~     18-24     ~     75.00%
All     ~     55+     ~     63.40%
Total     ~     74.90%

It doesn’t look like we can leave anyone out of our online marketing schemes. Every demographic group in the US is saturating the Internet.

What Are Your Choices?

Small to medium size businesses have a choice to make. Do you see your demographic market represented above? If so, you need to ask yourself a few questions.

1. Is my website professionally representing my company the way that I wish?
2. Am I getting traffic to my website that is converting to sales?
3. Am I losing out on sales opportunities because I don’t have a website?

Silken Strand Web Solutions, Inc. would be happy to conduct a free needs analysis with you to determine if your business would benefit from a web presence. If you have a website, we will be happy to conduct a free site analysis on your behalf, showing you problem areas you may not be aware of and making recommendations on how you may be able to save time and money with your web presence.

Don’t hesitate. Contact us today for more information.

Tina Boyd
Founder/ Head Developer
Silken Strand Web Solutions
614-920-6007
www.silkenstrand.com