Has the Recession Affected Internet Traffic or Sales?

Recession, the Dirty Word! How is the Economy, Really?

Cara Surdi
As everyone has seen the amount of internet traffic is less, but is it because of the burst of the dot com bubble or is it because of the recession? We have seen business come and go online; however, how much of that is because of the recession, and how much is lack of experience. Many larger companies have watched smaller business owners being able to compete with them during a time of slower sales, and without the buying power that it would take to compete in a local market. Small business owners have had to endure more traditional business problems since the burst of the dot com bubble and the recession. While internet traffic has not slowed, businesses have had to contend with extreme competition, which makes it tougher to get started and to stay running.

The biggest advantage that many small business owners have during a recession is that they have opened an internet store that they don't have to spend all day there, and often they use drop shipping companies that handle all their labor needs. This leads to less of an overhead cost and allows a small business to make it through a recession. This is also why smaller businesses can last through slower season or a recession, and be able to offer the same deals as the bigger companies. Smaller businesses do not have the extreme overhead expensive that Best Buy and other retail giants may have. Internet traffic still may not be slowing due to the recession; however, sales maybe harder to come by with all the competition, and with the bad reputations of some fly by night companies.

Many new companies's appear on the internet over night and then disappear or reappear under a new name, only to have their customers feel like they were tricked or scammed. The trick with any business is to be able to become established over a period of time, and offer excellent customer service, while backing up their products even before a recession could happen. Of course, no business owner can determine if every product is going to be perfect; however, before selling a product it is always best to understand if it is going to perform as expected.

For example, companies like Newegg, may not know if every part sold will work when you receive it, but if there is a problem they immediately take care of it and work with you to maintain customer satisfaction. This helps them keep repeat customers and attract new ones, if the customer knows that their purchase is going to be honored and secured, they are more likely to accept the occasional mistake.

Internet traffic has not slowed since the recession, nor has sales slowed down because of the dot com bust. The internet is often where someone will turn because of the recession. While major retailers are raising rates because of an increase in bills, internet traffic and small business owener's sales are growing due to the lower operating cost. There are many hidden start up costs to maintain and management skills to learn when starting a dot com business, although with the right financial backing and management, a company could last for many years on the internet without ever seeing a recession affect their business or drop in their internet traffic.

Published by Cara Surdi

I'm open minded, not judgmental, no one is perfect. I'm a licensed adjuster, background: administrative, report writing, proof reading, medical payments, medical terms, pharmaceutical experience, and handlin...  View profile

5 Comments

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  • Joshua Huffman10/10/2009

    very good points

  • Julie Darleen10/10/2009

    online or off-product quality and customer service should be high priorities

  • Ranee Wright10/10/2009

    Good points Cara.

  • Carol Whyte10/10/2009

    Great article and very interesting!

  • Mrs. Heart10/10/2009

    Great article information!

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