We are well placed to know that private sale of all kinds have gained an excessive scale in recent years in France. The machine was installed little by little to make room for unanimity. But where does this huge success come from ? Remember twenty years ago, when the Internet was in its infancy and when we spent hours in the stores to find the item that was coveted so much. Today, in France, there is a real desire for modernity and ease in our way of living in everyday life : if you do not want to cook tonight, just order !
French wants everything, right away and at a low price! Private sales are then the solution to this major problem. In fact, over the last fifteen years, the development of the e-commerce sector has been more than impressive : with a turnover of 64.9 billion euros in 2014, an increase of 14% in 2015 and a 10% increase in 2016, representing a turnover of 70 billion euros. In 2019 we have largely exceeded these figures… Thus, private sales offer a wider choice of products contrary to what we offer physical stores. The customer will then perceive more easily what he buys rather than in a store or on a catalog.
The business model of these big names in online sales places them between e-commerce and the media. Unlike physical shops, the private sales sector (marketplace, drop-shipping…) gives power to brands because it puts the supply first rather than the demand. The success comes also from the proposed prices which attract many of the population without social difference: the prices are reduced. For the brands, the reduction of the tariffs is far from being a problem because they are quickly amortized through the multiplicity of the sales and the fall-out.
Of course this new way of buying stirs up problems especially related to the competition… For example the business between Private Sales and Private Showroom (told at Europe 1) which made run a lot of ink. Such an advance in the daily life of the French has also allowed individuals to make a place in online commerce, including Vinted, Vestiaire Collective or Vide Dressing. Anyone can resell the things they do not need anymore to make someone else happy. Private sales are at first very popular in fashion, all areas have quickly developed through the food and even the DIY and landscaping : Brico Privé is on the rise because it is a sector that was little invested on the Internet. It should be known that 8 out of 10 French people tinker, because of this, there is a lot of innovation and brands need to find supports other than distribution. It is undeniable that the Internet is now part of our daily lives !
Certainly, e-commerce has undeniable advantages, but this craze for the web is done to the detriment of traditional businesses ? Is cohabitation between these two sectors possible today ? The state of New York is proof that traditional businesses are no match for e-commerce, although concepts such as Val d’Europe, Marque Avenue and others offer the same advantages as online sales, with five out of twelve institutions having closed their doors in the last three years and this is only increasing. France, however more traditional and attached to its small habits reproduces the same pattern. Are you going towards a real problem? We must think of some seniors who have never been interested in the web, or do not have a computer at home. Although it is in 2019, it is not yet natural for everyone to be equipped with technology. Seen in this light, it is not surprising to see older generations frightened by the development of e-commerce.
Being French is also values, exchange, we like to go to the little shopkeeper in the area to do our shopping too, will it be the end ? It is also necessary to ask the question of the periods of sales during which the stores lose ground since the craze of the on-line sales. 73% of French people intended to participate in the 2017 summer sales when they were interviewed on June 20th, 2017. In 2019 the numbers have not stopped falling… It will be necessary to make the idea that future will be well and truly online… or not !