SEO Expert, Anthony Yap

Hitwise released their findings on how future indicators can be predicted with search term volume.

By collecting data on specific search terms, they have been able to predict rather accurately the unemployment numbers and in their latest finding, home sales.

In a study “The 2006 State of Retailing Online” conducted by Forrester Research and reported by Shop.org, 22 percent of offline sales are driven by the internet.

From ClickZ:

Integration between online and offline activity is key for retailers who report 22 percent of offline sales are influenced by the Web. Retail Web sites are also a viable channel to reach new customers; 38 percent of online customers are first-time buyers.

The study finds the Internet can serve as a means of window shopping. Consumers compare prices, find gift ideas and research products. Some of the resulting sales are transacted offline. To integrate the experience online and offline, 79 percent of retailers have instituted consistent pricing across channels, and 46 percent allow for customers to buy and redeem gift cards on the Web site as well as at brick-and-mortar locations. Thirty-three percent of retailers have loyalty programs to retain customers, and 26 percent offer in-store product availability information online.

Having an online business presence is becoming more and more important to any small and medium sized business not to mention large business. Even if you are not a retailer, establishing a web presence offers the business an opportunity to leverage marketing efforts and build a presence much cheaper than offline marketing with considerably easier to measure ROI. If you are not taking advantage of the web now, then when?

Via Future Now: According to Shop.org’s State of Online Retailing Report, the average conversion rate for online retailing in 2002 was 3.2%, in 2003 was 2.4%, and in 2004 was 2.6%, and for last year was down to 2.4%.

If this is a trend that continues, it could be a worrying sign for online retailers.

So, what’s up with the figures? Could it be that more people are using the web as a research tool and not a buying tool?