The Web And Web-Enabled Devices Will Generate $269 Billion In Sales And Influence Another $378 Billion In Offline Sales In 2005, According To Forrester
Forrester Research, Inc. (Nasdaq: FORR) will today release new online retail projections at its Marketing Forum, “Thriving On The Web and Beyond.” The Forum will focus on the explosion of new interactive channels — wireless devices, interactive TV, and game consoles — and how they will dramatically change consumer behavior. The Forum begins at the Grand Hyatt today and will run through tomorrow.
“Despite the fact that Dot Com retailers have been dropping like flies all year, online retail is alive and well,” said Evie Black Dykema, senior analyst at Forrester and author of the Report “Online Retail’s Ripple Effect.” “In fact, online devices’ impact on sales is magnifying and rippling through retail — beyond the Net and into the brick-and-mortar world.”
According to Dykema’s Report, PCs will retain the spotlight, generating $246 billion in online sales in 2005. ITV will play a supporting role, and mobile devices will make rare cameo appearances. Though these non-PC devices will close only $23 billion in online sales in 2005, they will influence another $128 billion in offline sales.
Forrester has revised its US forecast for 2000 upward by 16% from $38.6 billion to $44.8 billion. This growth is precipitated by a network effect in which new consumers, retailers, product categories, and technologies increase the value of a market. This year, PC-based sales will total $45 billion, and the PC will influence an additional $13 billion. In 2003, PC-based sales will hit $154 billion, and Internet-enabled devices will influence $146 billion in offline sales. In 2005, PCs and Internet-enabled devices will generate $269 billion in sales and influence another $378 billion — more than half a trillion dollars in overall spending.
Retailers featured as speakers include Mark Bozek, president and CEO, Home Shopping Network; and Andrea Reisman, CEO and co-founder, Petopia.com. Other featured speakers include Mozelle Thompson, commissioner, FTC; Mitchell Kertzman, president and CEO, Liberate Technologies; Shelly Lazarus, chairman and CEO, Ogilvy & Mather Worldwide; Tom Rogers, chairman and CEO, PRIMEDIA, Inc.; Kim LeMasters, chairman and CEO, ReplayTV; and Kevin Clark, CEO, ScreamingMedia.
Featured Forrester speakers include George F. Colony, chairman and CEO; Chris Charron, group director; James L. McQuivey, research director; Seema Williams, senior analyst; Jim Nail, senior analyst; Lisa Allen, research director; and Paul Sonderegger, senior analyst.
“Thriving On The Web And Beyond” is the fourth in a series of seven Forrester Forums taking place in 2000. Forrester Forums are designed to provide unique opportunities for senior executives to informally share ideas, discover the latest technology tools and vendors, and develop successful business strategies.