Tag: e-commerce

online sales

Grants to be given to retailers to grow online sales

Posted on | by Aisling Rafferty

A pilot scheme worth €625,000 has been launched to help Irish retailers grow their e-commerce abilities and grow their online sales.

The scheme, launched by the government and set to be run by Enterprise Ireland aims to help Irish retailers export more goods through their only shops. It is hoped the scheme will provide grants to at least 25 small- and medium-sized enterprises (SMEs) in the retail sector to help improve their online capabilities and compete better internationally. The grants will be in the range of €10,000-€25,000 and at least half of the total number of grants awarded will be reserved for retail SMEs with their headquarters outside Dublin.

The grants can be used for research, consultation, implementation and training costs and will be made on a matching funds basis meaning a grant of €25,000 will only be awarded if the company is also investing €25,000 in its online trading strategy.

The scheme was announced at a meeting of the Retail Consultation Forum, a grouping of retail industry and public sector bodies chaired by Minister for Business, Enterprise and Innovation Heather Humphreys.

“Many retailers face increasing international competition on their doorstep and need to enhance their competitiveness,” the Minister said.

To apply

To apply, the retail companies must be Irish-owned with the potential to create jobs, generate sales growth and export. They must also have an existing online presence and employ at least 20 people in the Republic.

Enterprise Ireland chief executive Julie Sinnamon said the organisation anticipated “a good response” to the pilot scheme from eligible retailers. “There is a strong need for Irish retailers to innovate through digitalisation,” she said.

Lorraine Higgins, chief executive of industry body Retail Excellence Ireland, welcomed the scheme.

“This is a hugely welcome development and a sea change in policy as the export potential of Irish retailers is now being recognised. Having an online sales channel is critical given the boundaryless nature of the industry and this pilot will certainly enhance the sales capacity of the successful applicants.”

She said the organisation looked forward to seeing the scheme expanded in the longer term.

Retailers want online market places to pay VAT and duties

Posted on | by Aisling Rafferty

The retail representative group, Retail Excellence Ireland, have called for legislation to make online market-places liable to collect VAT and duties.

The group say the proposed measure will help to counteract the level of retail spend leaving the country. Retail Excellence Ireland is calling for legislation similar to the UK’s Finance Act which was introduced in December. Under the Act, online market-places were made responsible for collecting VAT and duties.

“We think that we should expect no less here in Ireland, because it’s not enough in budgets to just increase consumer spend and think that takes care of retail,” said Lorraine Higgins, Deputy Chief Executive of Retail Excellence Ireland, “We need retail-focused solutions for the future.”

Ms Higgins, Deputy Chief Executive at Retail Excellence Ireland, said two-thirds of online spend is leaving Ireland, and retailers here are aggrieved by competition from online retailers based outside the state who do not have to pay duties. “First and foremost we need to look at the online market-places, and the fact that they don’t have any duty on them,” she said. “So what we’d like to see is robust legislation introduced in the upcoming budget that would make online marketplaces jointly and separately liable to collect VAT and duties.”

She said retailers “were investing heavily in marketing campaigns to try and offset the type of cheap imports that were coming from websites, predominantly outside of the EU” She said the industry is seeing is an elongation of the shopping period at Christmas time, and a lot of retailers have stepped up to the mark and offered bargains, deductions and discounts in November, in order to try and encourage people into stores, to offset the challenges coming from websites outside of Ireland.