Net neutrality repeal is dangerous for luxury retailers’ ecommerce goals

Luxury Daily – The FCC has fulfilled its promise to repeal net neutrality, potentially leading to a future where access to different sites and applications is segmented by Internet service providers into subscription-gated tiers.

Despite the massive public outcry against the vote held Dec. 14, the FCC ignored all opposition and agreed to repeal any regulations that would prevent Internet Service Providers (ISPs) from divvying up the Internet, thus allow ISPs to discriminate against certain types of data. Regular Internet users are not the only ones who will face negative consequences from this action, however luxury brands and retailers will likely suffer setbacks in the form of lost customers who cannot access ecommerce sites without slowdowns enforced by ISPs.

While many luxury retailers may have the money for such an arrangement, they will likely be unable to compete with giants such as Amazon, which is already causing trouble for retailers even with net neutrality rules in place.

“Many fear that small retailers will have a hard time competing with large brands, as the cost of fast Internet services may become cost prohibitive,” said David Naumann, vice president of marketing at Boston Retail Partners, Boston. “If retailers cannot afford the fees for fast Internet service, their sites will be very slow and frustrating for their customers, resulting in reduced sales and potentially lost customers.”

Read Full Article: Net neutrality repeal is dangerous for luxury retailers’ ecommerce goals

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *