Online retailers facing supplier obstacles
Australian online retail businesses are facing road blocks from suppliers who are trying to prevent their products being sold online, according to a recent survey by eBay.
According to eBay’s second Online Business Index (OBI), 78% of respondents had experienced difficulties with manufacturers and suppliers who tried to prevent the sale of their products online.
The research revealed that:
• 35% faced issues with manufacturers/suppliers trying to prevent them from selling their goods on the internet or on particular websites
• 25% were required to sell their products at or around a particular recommended retail price
• 22% experienced unexplained problems from manufacturers or suppliers which they suspect was due to selling their products over the internet
Despite the obstacles, optimism among Australian e-tailers is booming, according to the eBay survey.
69% of respondents, among the largest sellers on eBay.com.au, said that they were optimistic about the business outlook for the coming year – a slight increase over 2010.
Indicative of this optimism, online businesses expected to increase staff from an average of 4.4 paid employees to an average of 6 over the next 12 months.