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Harsh Economy Can't Shake Love For Online Retailers

STORES magazine ranks favorite 50 online retailers in annual list





By James Limbach
ConsumerAffairs.com

September 11, 2009
When it comes to Americans' favorite retail websites, not much has changed among the top ten, which says a lot about consumers' love affairs with their favorite brands. Those are the findings of STORES Magazine's Favorite 50 Online Retailers survey, conducted by BIGresearch.

"Even in one of the worst economies modern retailing has seen, many online retailers are using the economy as an opportunity to get back to the basics and focus on the customer," said Susan Reda, Executive Editor, STORES. "These retailers have done a great job connecting with their customers and making their typically more mature website serve as a fresh, up-to-date research and shopping destination."

With only a few minor shifts from last year's positions, large retailers like Wal-Mart (#2), Best Buy (#4), JCPenney (#5), Target (#6), Kohl's (#7), Sears (#10) and Macy's (#11) held on to their coveted spots, using celebrity endorsements, private labels and exclusive promotions to attract online and in-store shoppers.

Landing the top spot once again this year is the world's largest online retailer, Amazon.com. Amazon recently acquired Zappos.com (#38) and benefits greatly from the abundance of smaller vendors that sell through their site.

Still, Amazon has its detractors.

• Max from El Segundo, California, tells ConsumerAffairs.com, "I wanted to pre-order a Beatle remaster stereo box set from Amazon.com. They advertised it for $179.00 to be shipped on 09-09-09. When it was placed in my cart the price went up to $624.43. Since $179.00 was the best price on the Internet that was the price I wanted to pay. All I got from Amazon emails was too bad."

• And there's this from Catherine from Snellville, Georgia. "Ordered a used book from Amazon to help my granddaughters deal with the death of their father. Opened the undamaged packaging and the book was in unreadable condition..water damaged and pages unable to be separated. Why would they even have a book like that in a warehouse? I have applied for a refund, but the thought that they would send a book like that to grieving people is so hurtful."

Another pure-play online retailer that consistently ranks among the favorites is Overstock.com (#9). The auction site eBay.com (#3) slipped from No. 2 last year.

Rounding out the list is search engine Google.com (#8).

Debuting on the list this year is online community Craigslist.org (#25). During a time when price is the name of the game for most people, Craigslist offers consumers a way to score slightly used, cheap (and sometimes free) furniture, apparel and other personal or household items.

Allanah of Louisville, Kentucky, is not a Craigslist fan.

• She tells ConsumerAffairs.com, "I have posted many ads with Craigslist and now I have amassed 5 ads that Craigslist acknowledges that I paid for, and were never posted. Where's my money? Who knows...they wont give it back. This is the 5th time this has happened, and I simply can't afford to be scammed by them anymore."

• Joy of Du Quoin, Illinois, writes, "I attempted to sell things on Craigslist and I got a couple of checks in the mail so I took them to my bank to be deposited in the account and come to find out the checks were no good at all and the people that sent me the checks are bugging me about their money and item they say they wanted. But the good news is they never got the items. Since this happened I do not want to deal with Craigslist. They threatened to call the cops and get the CIA or FBI involved and sending me threatening emails.

"The economy has had an intense impact on Americans' bottom line," said Phil Rist, Executive Vice President, Strategic Initiatives, BIGresearch. "No longer is it a hassle to cross towns to find the best deal possible if it saves the family a few extra dollars for groceries or other essential purchases."

Other newcomers to the Favorite 50 list this year include Meijer (#42), Forever 21 (#44), REI (#49) and Fashion Bug (#50).



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