Online spending is set to triple by 2011, new research has indicated, as 70% of the UK shopping population will regularly buy goods online.
The report by PricewaterhouseCoopers (PWC) predicted that within five years virtually everyone under the age of 55 will have used the internet to buy goods, and the online market will be worth £35bn.
Mark Parry, partner at PWC said: “Our research shows that there is no longer such thing as a typical online consumer: five years ago the net shopper was relatively wealthy, young and male but today’s online consumers are far more reflective of the general shopping population.
“The reality of online retail is finally catching up with the early hype, with online sales for 2007 predicted to grow by almost 30% on last year’s high. The UK retail sector is an industry in transformation.”
Price is the main driving force for people shopping online according to the report, with 70% of respondents citing cost as the main reason for choosing the internet.
Convenience also ranked highly, along with 24-hour access which was cited by 60% of those surveyed.
“The growth in the UK’s online retail channel has consistently exceeded expectations and in five years’ time, the value of online shopping will still be growing,” said Mark Hudson, retail and consumer leader at PWC.
“However there will still be a role for bricks and mortar in the retail mix. Even in 2011, online retail will only represent about 10% of the total market value.”
© Crimson Business Ltd. 2007
