Brands Tend to Carry More Weight Online

As shopping online for groceries and other consumables gains in popularity, the value of brand names will become even more important, some believe. When shoppers are standing in grocery store aisles, they buy off-brands or generics because they can pick up the product, inspect it and become more comfortable with it. Shoppers don’t have the same advantage on the Web. For this reason, online shoppers tend to gravitate toward brands they already know, marketing consultants say. Andersen Consulting predicts that online shopping will account for $60 billion to $85 billion in U.S. retail sales over the next seven to 10 years. That represents 8% to 12% of the $720-billion annual market for U.S. consumer products and services, up sharply from less than 1% now.