Member Article

Online growth set to triple by 2011

Online sales are growing at their fastest rate since the dot com bubble burst, new research has revealed. In 2006, internet businesses saw spending grow by 33.4% to reach £10.9m, according to retail analysts Verdict Research.

The organisation said the online sector is now growing 13 times faster than the retail sector overall, and £1 in every £3 spent on retail in the UK is now claimed by an internet merchant. However, certain retailers are still resisting the move to online sales, the report claims. Many food stores, smaller specialists and value retailers such as Matalan and Primark are yet to launch online.

Verdict said that even with some retailers staying out of the market the online sector is still set to triple in value by 2011, reaching 8.9% of all spending. This growth will be powered by more people shopping online rather than the expansion of internet stores, the organisation claims.

However, Verdict also warned that internet retailers would need to work hard not to jeopardise the trust of their customers by taking extra care to combat online fraud.

This was posted in Bdaily's Members' News section by Ruth Mitchell .