Britain has overtaken its top rivals to become Europe’s top online retail market, research has revealed.
A new report from Mintel shows that internet retail sales in the UK last year topped €9.79bn, some €80m ahead of second-place Germany, which posted sales worth €9.71bn.
France finished a distand third, recording sales of just €6.5bn.
In the three countries, however, online retail sales accounted for almost two-thirds, or 65%, of Europe’s €40.2bn e-commerce market.
Mintel said that almost two in three adults now have access to the internet, and increased competition among UK broadband providers has contributed to falling prices and faster internet speeds, which have driven the recent meteoric growth in online spending.
The report claims that Europe’s e-commerce market grew an astounding 51% on the €26.6bn in recorded in sales in 2004, and Mintel said it expects the market to grow by a further 186% between 2005 and 2010 with sales forecast to reach €115bn.
“The business to consumer e-commerce sector has come of age and is gaining consumer acceptance as a ‘normal’ retail sales channel,” said Neil Mason, senior retail analyst at Mintel. “Mintel is confident that on-line sales of goods will grow strongly over the next few years as this channel matures.
“But physical shops will not sit back and watch their trade drain away, they will respond by making the physical shopping experience more enjoyable and rewarding with much better interaction from informed and trained staff.”
