I would agree with that. Another thing to think about but is how much of the "spare cash" stays locally? Say the product in question costs $100.00 ex GST from the manufacturer including freight etc. The local business puts on a 30% mark up and sells for $130.00 + GST . That puts $30.00 into the local economy. The online retailer works on a 10% margin and sells for $110.00. If the tight arse buyer then spends the saved $20.00 locally to someone else with a 30% mark up it works out at just $4.62 being put into into the local economy. ($15.38 + 30% ($4.62) = $20.00) This is purely based of a retail business scenario.