The traditional Brick and Mortar edge. For store owners who depend on foot traffic to make sales the growth of online retailers is a serious threat. The local store now has to focus on its strength and hope that remains enough to win the consumer.
Privacy and Security. Preying on the fear that your private information will be out there for anyone to grab and abuse is a favorite of the traditional store. However as more americans get used to online banking, booking travel arrangements, buying movie tickets and using secure websites this perceived advantage is loosing its punch. These days you are more likely to loose your privacy to a person you actually hand your credit card to than online.
Interaction. The internet is said to be an interactive medium. By having a person available to greet you the local store may seem to have an advantage. The problem is that anyone who has ever gone to the internet before they went shopping tends to know more about what they are looking for than the sales people.
A well thought out website anticipates your questions and answers them with knowledge and experience. When you go in to a store you rarely get to talk with the owner. It just is not possible for the owner to be available for every customer walking through the door. But online, the owner can be involved. Experience has taught them the questions you are going to ask about every product and they know the answer. You can be half way around the world, shopping while the store owner sleeps and he can still be answering your question because he has anticipated it.
Selection. The local store used to boast better selection than you could find online. That is far from true now. By going to web sites that specialize in the product you are looking for you can usually find what you seek.
Shipping. The local store might not appear to charge any shipping. However that depends on your point of view. You still pay for shipping when you buy from the local store, it just comes in the form of a higher price. If the item is not in stock you pay for your gas to go to and from the store to find that out. Then when the item is at the store you pay for your gas back and forth again. Finding something online and paying to have it delivered in most cases is still less than you would pay to drive all over until you find it locally. After driving to and from work the last thing most people want to do is get back in the car and drive more.
The internet can be a cost effective way to save money as a consumer. By eliminating the store the manufacturer can give the consumer better quality for the same price that the local store has to offer.