E-Commerce: Watershed Moment?

Takeaway: A watershed year in the shift from "bricks and mortar" to dot.com.

With virtually every single retailer posting disappointing sales, we wanted to highlight a crucial factor we believe is of paramount importance. 

 

It is our view that this holiday will go down as a watershed year in the shift from "bricks and mortar" to dot.com. (Yes, we get that the weather was terrible as the month closed out and got worse in January.) 

 

Bri8 normal

 

The chart above clearly shows the steady increase over the past decade in e-commerce's share of total spending.

 

Bottom line? We think when this quarter's numbers are reported, it will reveal the greatest increase in the slope in the the history of the Internet.

 

7789 normal

 

Our belief is that shopping is ultimately behavorial. An increase in dot.com will only feed upon itself and continue to gain share in 2014 and ensuing years.  

This is an excerpt of Hedgeye Risk Management research. For more information on how you can subscribe to Hedgeye please click here.

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