Businesses of all types must know how to use the Internet to their advantage in order to successfully navigate today’s world of commerce, according to Mark Goldston, chairman, president and CEO of United Online.

In a speech at the Valley Economic Summit on May 13 in Universal City, Goldston gave advice on how to adapt to today’s fast-changing business climate.

Goldston said that he is convinced that more companies will be going to Internet-driven direct-to-consumer techniques and cutting down on the number of brick and mortar facilities that they have. This brings down both labor costs and rent.

Goldston said that his two sons have started a high-end athletic shoe company that is selling only on the Internet.

“You’re going to see a lot of big companies do this over the next 24-36 months,” he said.

Because more and more people have so-called “smart phones” such as iPhones, companies will need to have mobile applications for those devices in order to capture sales.

“People who can pay $50 a month are connected to the Internet all day,” Goldston said. “This will affect the way business is done.”

With a broader comment on the overall economy, Goldston said consumers are changing the way that they spend. Spending is up but savings is down, he said, and much consumer spending is being fueled out of savings. So people are migrating to more value-based products.

Businesses need to be aware of this, he said.

Goldston was one of the keynote speakers at the annual summit put on by the Valley Economic Alliance. The other keynote speaker was Peter Lowy, Group Managing Director of Westfield Group mall operators.

The summit included the release of the Valley economic and real estate report and several panels focusing on such issues as green businesses, real estate, trade as well as trends in key industries.