Barry's BULL-e-TINS

In the words of Charles Darwin, “It is not the strongest of the species, nor the most intelligent that survives- it is the one most adaptable to change.”  If you apply his theory of evolution to today’s business conditions then the message is clear - adapt or die.

Retailers, particularly the coalition of big brick and mortar chains, are claiming a competitive disadvantage with on line Internet retailers who benefit from GST exemption on items under $1000. While they say it’s not a level playing field, they are crying foul to a non-existence umpire because the game has changed.  It took the consumer to level the playing field and this is hardly surprising because it’s always been this way. No matter what business you’re in, the customer is always right and if you don’t give them what they want, and how they want it, then someone else will.

The challenge for any business as the operating environment shifts is to adapt to new consumer preferences or be left behind.

Ask yourself this simple question. What are the forces that are driving change in your industry? Regardless of the business, I suggest there are only two answers -the GFC and the Internet. And the paradox is that both leverage off each other. Cash strapped consumers are discovering significant benefits by purchasing on line.

What have you done to combat declining market share and is your on line offer competitive? The winners in the future will be those businesses who successfully combine a strong physical and on line presence to their customers. Unfortunately few retailers have achieved this.

If traditional retail is to survive in a world where every product with a model number is available with the click of a keyboard, then they must adapt to embrace new and changing consumer preferences. And their real competitive advantage is not GST exemption because this will never happen. It’s offering top quality in store service from well trained informed staff with strong after sales service.

But it’s not just retailers who are competing with Internet traders.

I visited a website to locate a local printer and discovered I could get a quote for any size job for any quantity with free Australia wide delivery. And if that wasn’t enough, within five minutes I received a call from an international printing broker advising they can submit my job to hundreds of printers to get the lowest price.

The Internet claims another industry!