In this series, we discuss how academic and industry research can provide conceptual insights, potential data sources, and analytical techniques to support or rebut expert testimony related to online advertising activities of firms and online purchases of customers.
Over the course of the last two decades, the internet has transformed from a novelty—in 2000, only 1 percent of U.S. adults used broadband internet at home—to a nearly ubiquitous utility.
The increasingly widespread usage and breadth of online activities have far-reaching implications for consumer and retailer behavior. For one, consumers are increasingly buying online. Over the last ten years, online sales have almost tripled, from 4 percent of all retail sales in 2010 to over 11 percent in 2019.
In light of the COVID-19 pandemic, online sales are seeing accelerated growth and quickly becoming a dominant purchase channel across many product segments, including those that may have been previously viewed as unlikely to move online, such as groceries. Traditional, brick-and-mortar retailers have also been impacted by the ubiquity of online access in other ways. Access to the internet through mobile devices allows consumers to more easily research potential purchases. To adapt, many traditional retailers are offering improved omnichannel shopping experiences.
Despite these seismic shifts, market analyses in litigation involving product liability, false advertising, intellectual property, and other areas often ignore or fail to properly account for these developments. For example,
Understanding how this new paradigm affects consumer decision-making processes and firm marketing behavior can be critical. In this series, we will discuss key findings from academic and industry research, and explore how these findings can provide conceptual insights, guidance on potential data sources, and relevant analytical techniques in litigation.
The views expressed herein do not necessarily represent the views of Cornerstone Research.