Online only accounts for 6% of overall sales

Although online retail is growing, the platform still accounts for only 6 percent of all retail sales. A physical store presence is still a key to most retailers' online growth, according to a report by Moody's Investor Services.

Moody's estimate predicts online sales will rise to 7.1 percent of all sales by 2016 and somewhere in the teens in about five years, reported Chain Store Age.

It seems retailers have not fully leveraged the potential of e-commerce.

In addition, the study reported that mass storefront closings are unlikely since they still serve as an important place for shoppers to see and touch products.

The report looked at 13 retail verticals to compare sales. Some retail sectors are performing better than others online. In particular, music, video and digital content will double its online sales to about 70 percent in 2016. In contrast, food, beer and wine have barely broken the barrier with only a 1 percent penetration predicted by 2016.

Last month, a report by PriceWaterhouseCoopers stated that online channels for buying groceries were still evolving and 83 percent of respondents preferred shopping at a traditional grocery store and that would not change anytime soon.

For more:
-See this Chain Store Age article

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