December 19, 2007 — (WEB HOST INDUSTRY REVIEW) — UK managed hosting provider Rackspace Managed Hosting (rackspace.co.uk) announced on Wednesday it warns online businesses that the record increase in online spending this holiday season will place significant pressure on website infrastructures. Consumers are seeking the best last minute deals by shopping online, rather than in crowded retail stores. In a recent study done by Social Issues Research Centre and Rackspace Managed Hosting, 62 percent of respondents listed high speed as the most important factor in a website. These results show how crucial it is for organizations to review their Web hosting requirements to prevent any loss of business due to a poorly performing website.
“In this exceedingly competitive online marketplace, where profit margins are at its tightest and the health of the overall retail economy uncertain, the difference between closing or losing a sale could literally be a matter of seconds,” says Fabio Torlini, marketing director of Rackspace. “The slightest delay in navigating a website could cause a customer to make the purchase at a competing site – a situation online retailers can ill afford at a time when the shopping frenzy is at its peak.”
Online shopping has already seen significant numbers, with £750,000 in online purchases spent in under a minute, according to payment processing company Retail Decisions. This figure reinforces reports from eDigitalResearch, which project online sales for the last three months of 2007 will hit a record £17.6 billion, an increase of 82 percent from last year.
Rackspace announced last month it extended its contract with social networking site, VOIS.
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