The Impact of Online Shopping on High Street Stores in the UK

RUNNING HEAD: THE DIGITAL LANDSCAPE
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Electronic Retailing
Case Study
Student Name
[Pick the date]

Digital Landscape
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Table of Contents
Introduction................................................................................................................ 2
Task1: Does the growth in ‘online shopping’ mean the extinction of the typical ‘high
street’ store?.............................................................................................................. 2
Task2 Examine the various models; clicks, bricks, bricks and clicks and clicks and
bricks. Which if any is the most sustainable?.............................................................3
Task 3We are increasingly hearing the term Omni channel retailing what does this
mean and how can businesses exploit this new phenomenon?.................................4
Task 4 Why are online travel services such a popular Internet application? Why do
so many web sites provide free travel information?...................................................4
Task 5 Compare the advantages and disadvantages of distributing digitizable
products electronically versus physically?..................................................................5
Conclusion.................................................................................................................. 6
References................................................................................................................. 8

Digital Landscape
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Introduction
E-Commerce is selling and buying goods through the online platform or over the internet. The
platform provides the opportunities to do buying and selling for the business purpose or to
encourage retail sales directly to the customers by eliminating the middleman (Linzbach, et al.,
2019). The growth of e-commerce sector majorly impact on the retail segment of the United
Kingdom as more than half of retail shops in UK will be vanished in upcoming years most
probably by 2030 and the e-commerce segment will capture approximately 40 percent market
share in UK in the upcoming years (Butler, 2019).
The assignment includes a deep view on the impact of growth of online shopping on the retail
street outlets in UK by understanding the various business models that are brick and click, brick
and mortar, click and click. Furthermore, the assignment describes the new phenomena of Omni
channel retailing and pros and cons of distributing the products through digitalized platform.
1.
The online shopping segment is affecting the high street stores as it is analyzed that the UK
streets are changing, the stores are closing, and sales are declining and fewer people are visiting
the stores for shopping. The decline in the number of shops resultant in disappearing of the local
jobs from the market and due to that employees in UK retail stores loss their jobs and that laid by
2.4% in 2017 (Somerville, 2018). There are chances that the high street may soon become
obsolete as both chain stores and independent stores feel the burden of the growth of online
shopping (Lissitsa & Kol, 2016). In last couple of years, the major retailers in the United
Kingdom closed their doors that were Woolworths in 2008, BHS in 2016 and Toys R us in 2018
and due to that closure 21,355 retail employees were laid off in 2018. This is happening as the
businesses are not able to understand the current business model and demand of the today’s
shoppers and all this resultant in failure of high street stores 48 businesses are in the category of
danger and 53 businesses made a loss in 2016 out of 200 large businesses. It is estimated that
online industry will be reach to £36.2 billion by the end of 2030 that will be approximately 63
percent as compared to current market share at 21 percent (Thomas, 2018).