This, Accenture’s fourth annual eEurope study, is based on the responses of 800 board-level executives who were interviewed across 25 countries in Europe, Asia and the US. The study found that despite the current turmoil in the technology sector, executives expect to spend 15% more on e-commerce over the next year. This attitude exemplifies the push to implement e-commerce initiatives and continue narrowing the gap between Europe and the US.
“Although they are about 12 months behind the US in adopting traditional ‘wired’ e-commerce, Europeans are level with the US and ahead of Japan in adopting television commerce, and equal with the US in silent commerce. They are only slightly behind Japan in adoption of wireless commerce in the consumer market and well positioned to take the lead in the business market.”
The biggest hurdle faced by the blossoming of successful e-commerce in Europe could well be a psychological one said the study.
“European executives continue to betray a lack of confidence in Europe’s ability to take the lead in new forms of eCommerce. While most expect to be leading in wireless commerce in three years time, they see the U.S. leading in all other areas: television, voice and silent commerce, as well as traditional eCommerce. This is in danger of becoming a “self-fulfilling prophecy”
It appears that executives are investing in e-commerce with long term goals:
“Businesses are seeking the efficiencies that eCommerce can deliver by investing in eCommerce initiatives in their back office and supply chain as well as in sales and marketing. Their primary focus is no longer the acquisition of new customers, but the deepening of customer relationships through the delivery of more tailored services. Sixty-one percent will increase their dependency on service-based revenues and 75 percent will make the delivery of these services more tailored over the next three years.”
This is a position that has changed from last year when 74% of executives said their primary motivation for investing in e-commerce was to keep pace with their competitors. That figure is just 54% today. Most businesses are focused now on consolidating their existing opportunities; a process they admit has taken them longer than expected. But e-commerce has become an essential tool in their strategic armoury.
Rosemary O’Mahony, Accenture’s Managing Partner emphasised that such investment should not stand still even though the economy has slowed down:
“In the face of deepening economic gloom, most European businesses are using eCommerce to consolidate their competitive position and prepare for the future. Those who hesitate will be left behind when the economy picks up.”