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Editorial Rating

7

Qualities

  • Analytical
  • Applicable
  • Overview

Recommendation

The rocketing growth in online retail sales presents rich opportunities for online retailers. Yet consumers’ demands for convenience, personalization and delivery are ratcheting up, too. To stay in the game, retailers must innovate. Based on a survey of traditional retailers, the Boston Consulting Group details the activities that set e-commerce innovation leaders apart, the benefits they reap and the crucial investments that will underpin retailers’ IT-enabled innovation. This insightful and actionable report is a valuable read for any retailer seeking a leg up online.

Take-Aways

  • Online retail sales are set to surge at five times the pace of overall retail sales between 2018 and 2022.
  • Retailers spend a median 1.2% of revenue on IT operating expenses.
  • Retailers aren’t stepping up to the challenge of e-commerce innovation, and innovation leadership doesn’t depend on spend.

About the Authors

Brad Loftus is a senior partner and managing director at the Boston Consulting Group, a global management consulting firm. Ashwin Bhave, Chris Biggs and Shishir Pathak are partners and managing directors, and Peter Burggraaff is an associate director.