Most of us know that the recent stock market activity has been fairly unkind to the U.S. My question is how will this affect the internet world, particularly on-line businesses. For those of us selling products on-line would you expect and decline in sales in the future? So far I haven't seen any noticeable decline in revenue but it is still early to tell. I would love to hear your predictions!
Its hard to make people buy things now, including internet. I will withdraw all my money from US Bank. Its not safe now.
Agreed It will affect the people that sell product online but on the other hand,it will greatly help on other kind of biz such as job search/money lender kind of site. so there is pros and cons of the down turn of the state economy
We'll see a drop of income in some niches while other niches will explode and profit huge amount of cash.
I think it must have some affect but i see people being more selective in there purchases as for advertising they say that when we have a downturn it is better to keep advertising going.
worse case... many unemployed/strapped customers who do not make purchases. Companies also cutting advertising which would greatly affect adsense revenues. Many online industries affected. reality... average customer looking for bargains will go onto internet. If you offer great value you will get sales (but less profit). High end market will be the same as usual.
Even at the economic recession time , not all the industry are declined. I believe internet market will be affected less than the tradition industries and financial industry. Enterprise and companies may invest more money in internet to promote business to fight against the declined.
It seems like it will affect each niche differently. It's hard to group all of the internet into one common market.
I think it might have an increase in products bought online. At least essential products gas is through the roof and people well me at least try to avoid unnessesarry car trips so I buy more online cause its more eco friendly and saves gas. Also it could have a positive affect on people looking to invest there money into a home based or online business rather than having it sit dormant and uncertain in mutual funds (I personally think it will turn around faster than we think) so people could begin to build a business online instead of sitting and waiting for the market to rebound. But it will have a certain affect or unecessary spending online. So the advice is try to sell things that are essential to life and not any crap made in China
It will also depend largely upon how and if the government approves a bailout and how that bailout will trickle down to the tax payers. If people are stuck paying much higher taxes on top of still trying to make ends meet, then there will be a slow down of business online as well as off. Eventually it will even out. What others have said, that each niche is different, is accurate as well.