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E-commerce Round-up: Wal-Mart – Short Term Losses Make Long Term E-commerce Gains

Posted By Amrita Aujla

America's much beloved superstore, Wal-Mart, have declared their newest adventure into the world of e-commerce.

Wal-Mart's CEO announced that the major retailer is set to make a big investment into their e-commerce in order to make a massive push into their online sales. Amazon had set the online standards for many e-commerce businesses by proving that losses make success.

It was not until 15 years into the game in 2009 that the world renowned e-tailor actually made a profit, yet since their occurrence into the online world they have been constantly dominating the wireless market. So if we follow the online plan set by Amazon, if we constantly post a loss for as long as possible we should gain huge success? Well, this is the game plan that Wal-Mart is taking on and is expecting to gain a whole host of returns in the next two years. Wal-Mart are set to push all of their efforts into two major areas - online and in employee wages.

It is about time that Wal-Mart stopped treating their online channel as an add-on but instead as a helping hand into their massive sales possibilities. Since they have only seen a 3% rise in their online sales this quarter, it is definitely about time that they stepped up their game as even Macy's have announced that a big chunk of their sales are coming in from their online business.

After all of the case studies and success stories of many businesses, it is surprising that so many businesses are stilling sitting on the fence about whether to make that e-commerce jump.

However, even big businesses such as Wal-Mart are now realising what they are missing out on and have decided to endure some short term pain to reach the much needed gains that their sales require. In other e-commerce news this week...

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