A recession hits retail the hardest because shoppers cut back on their spending. This means less income and less purchasing power, even in the age of consumerism and commercialism. In the US, retail sales have been consistently dipping over the past six months. For the entire 2008, retail sales stooped 0.1 percent low. That might not be an alarming figure in itself, but it’s the trend in downward spiral that causes much concern for economists. Americans do much of their shopping online. Before the US economic meltdown, B2B (business-to-business) and B2C (business-to-customer) sites were basking in their heyday.

A research study reveals that both B2B and a B2C sites rely heavily on the buyer’s emotional view and rationale for the purchase or business transaction. It is the B2C site that figures directly and more frequently in the retail field. This means that the culminating business transaction of a B2C buyer will be based on the traditional marketing values of online security, product status, product quality, and product comfort. A B2C site will aim to make the customer buy impulsively. This becomes equivalent to additional retail business. To achieve this, a B2C will drive up interest and curiosity for the site so that the ‘surfer’ actually purchases and the customer buys more than he or she originally planned.

The economic meltdown flattens these traditional views. In a time of recession, the old marketing values of online retail sites may need to be reviewed and redefined. Consumer confidence is low and purchasing power is weak. The fundamental markets of B2C sites will surely change their behavior in a time of crisis. Consumers now spend based on need and necessity. Perhaps, B2Cs would want to look into this specialized marketing value from here on because the recession is estimated to last quite a few years.

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Via BBC