No Recession For The Online Market

Dec 18
08:20

2008

Alex Cleanthous

Alex Cleanthous

  • Share this article on Facebook
  • Share this article on Twitter
  • Share this article on Linkedin

If you have read the news, checked out the headlines or even talked to any other human being over the past few weeks, you cannot fail to have noticed the fact that there is a credit crunch taking hold all around the world. This is no small recession either. Major banks have gone down with alarming regularity, reminding us all that nothing is that safe after all. But where does this leave all the other businesses – and more importantly, how will internet businesses cope?

mediaimage
If you have read the news,No Recession For The Online Market Articles checked out the headlines or even talked to any other human being over the past few weeks, you cannot fail to have noticed the fact that there is a credit crunch taking hold all around the world.This is no small recession either.  Major banks have gone down with alarming regularity, reminding us all that nothing is that safe after all.  But where does this leave all the other businesses – and more importantly, how will internet businesses cope?In actual fact all the signs are that the internet may hardly notice the effects of a recession that will hit the high streets hard as it takes hold.  Even if not every country goes into a recession, there is no doubt that some will experience a mild one at the very least, and this is bound to be felt far and wide.The beauty of internet businesses is that they are better able to weather this type of storm than many other conventional bricks and mortar ones are.  For a start internet marketing businesses have lower overheads; if they are run from a spare room at home then they may have extremely limited overheads.  This means that even if profits do take a hit they will have a far bigger cushion to protect them from going under.  There is far more flexibility in the day to day running of a business like this too, since it is less likely that they will have employees to worry about.  Many online businesses can be automated to a certain extent, which also adds to the flexible nature of them.The other big factor which points to why the online market survives recessions more readily has to do with pricing.  Lower overheads mean lower prices in general, and this means that people are well aware that they can get items a lot cheaper online than they can elsewhere.  So when they need to find a bargain they won’t head into the high street – they will head to their computer and go online to see what they can find.  Even with the postage costs built in you can still get a much better deal online in many cases.And of course there are the online auction sites as well.  These are a real triumph of internet marketing, and they show no signs of abating since they are the one place where you will always find some kind of bargain.So as we enter that period where Christmas starts to creep into the back of our minds and we start to think about making gift lists for the people we love, we will soon realise that the biggest bargains are to be had online and the high street shops will lose their appeal as we seek to get the best deals for our money.And if you have your own internet business then you stand a real chance of making some serious cash – despite the doom and gloom and the credit crunch.