Finally, the added cost of order picking and delivery cannot be borne by most classes of low-priced convenience goods. An additional class of products that falls outside the traditional classification is goods that are of a sensitive or personal nature. The lack of personal contact offered by on-line purchasing allows consumers to maintain their privacy while receiving a high degree of customer service. This may be the reason why the Internet is such a popular vehicle for distribution of sexually-related materials. It certainly provides the most obvious basis for comparison.
Consumers shopping on the Internet can easily access prices from a great many possible suppliers.
Also, prices for goods on the Internet may be relatively low because the overhead cost of maintaining a web site is much less than a regular retail outlet. It must be remembered, however, that many Internet suppliers have dual operations, one regular retail store and one on-line. These operators would not enjoy the benefit of low overhead. That situation is currently being studied as state legislatures see growing on-line markets as an additional source of tax revenue. A final consideration, the delivered price of goods purchased on the Internet may be increased due to handling and shipping charges.