UK leather sector yet to realise full potential of e-commerce

16/11/2001

The valuable role of the internet and e-commerce in the leather industry has been highlighted by a survey commissioned by the UK government. The report assessed the impact of e-commerce on industry and found that only 17% of businesses in the leather tanning sector have an official e-commerce strategy. The document suggested that e-commerce could provide an important source of competitive advantage for UK tanners, especially with the use of the internet as a global communications tool.

Out of those businesses questioned three-quarters had a website and used email, but less than 10% were found to use e-commerce to process orders or payments. When asked to look to the future, the picture changed slightly, with around 40% of firms expecting e-commerce to drive channel enhancement, value chain integration, industry transformation and, eventually, convergence.

The survey, commissioned by the Department of Trade and Industry (DTI) and conducted by PricewaterhouseCoopers, questioned trade associations, businesses, suppliers and customers in the tanning sector involved in the manufacture of wet blue, crust and finished leather from bovine hides and sheep skin.