It isn't a question of whether online businesses could replace physical stores anymore. Now it is a question of when stores will be replaced entirely. The most obvious example of this trend towards technological store interfaces rather than physical stores is Amazon. Now one of the largest online shipping companies period, Amazon has been running competitors that just use physical stores out of business and obsolete. This trend is most evident in the book selling industry with the fall of the likes of Barnes and Noble.
I think there will always be people who want to see or touch a product in person, especially with clothing. Some people are hard to fit and need to try on several pieces of clothing to find the right one. It is sometimes difficult and expensive to return items to an online store, especially large items like furniture and appliances.
Though I, myself, do the bulk of my holiday shopping online, I do not feel it replaces physically visiting a brick and mortar establishment. Online shopping and physical shopping are two different animals. There are just some items that some people will always want to go and view and touch in the flesh.
Online shopping has become increasingly more popular over the last ten years. It provides a convenience that many people appreciate in their busy lives. Young people seem to be especially excited by this method of purchase, so many worry that over the long term brick and mortar stores will be replaced entirely. This is unlikely, however, because people will still always enjoy touching, sampling, and trying things out when shopping before making a big purchase.
No, online shopping will never completely replace shopping in the store. While it is true that more customers are turning to online shopping for convenience, stores still cater to a group of shoppers who enjoy the experience of going to the store, seeing and feeling the merchandise, and being with other shoppers.