UK e-commerce predicted to boom

12/08/2008

Spending on internet shopping will grow to £163 billion a year by 2020, it has been predicted.

According to comparison service uSwitch.com, online sales will account for almost a fifth of all retail spending this year, growing to 44 per cent over the next 12 years.

Furthermore, the online medium could be responsible for over half of all sales by 2026, the report suggested, indicating a potential need for retailers to ensure their e-commerce web design is able to cope with this demand.

This boom in online shopping can be attributed to cheaper broadband and an intensifying desire for cheaper goods amid the economic downturn, uSwitch.com said.

It also identified the likes of Sainsbury's, ASOS, Mulberry and Mothercare as examples of successful online retailers during the first half of this year.

"The new figures show that consumers have wholeheartedly embraced online shopping and this trend is set to continue," commented Steve Weller, communications expert at uSwitch.com.

Research firm Hitwise recently published statistics suggesting that major high street retailers' websites are beginning to see higher traffic numbers than their online-only counterparts.