Internet retail constitutes around 7% of total retail in the US. Of that, Amazon has around 25% for around 1,75% of total retail. Now, I would risk saying that

Internet retail constitutes around 7% of total retail in the US. Of that, Amazon has around 25% for around 1,75% of total retail. Now, I would risk saying that if you are reading HN, you think that digital technology is absolutely everywhere and transformed everything and is now plateauing. This is far from the case. Digital technology is only barely starting to mature. You may think that internet retailers have all these tools to collect and analyze data which far surpass the brick and mortar world and you would be wrong. Retailers will soon start to get serious about digital and Amazon has to defend itself. Its position is far from solidified. See the popular growth curve.[1] The early majority has just begun to develop the necessary infrastructure. The overwhelming number of retailers are yet to even start their (serious) attempt. Moreover, while retailers grow their digital channels, internet pureplays like Amazon need to make a b&m infrastructure in some form or they will never have a significant market share. Internet will not facilitate commerce in its entirety, but merely augment it. http://www.ou.edu/deptcomm/dodjcc/groups/99A2/curve.JPG http://www.ou.edu/deptcomm/dodjcc/groups/99A2/curve.JPG