17 January 2018
visit www.avoka.com

Recession hit Brits turn to online shopping

24 June 2009  |  3643 views  |  0 add to basket

Online spending in the UK is set to more than double, to £21.3 billion, by the end of 2011 as Brits turn to the Internet for deals during the recession, according to a report commissioned by PayPal.

The report, compiled by Experian, says online shopping will be up 137% on the £8.9 billion it generated at the end of 2008. This means consumers in 2011 will spend the equivalent of approximately £430 for every UK adult online.

With the UK expected to still be in recession, the report says that in the 18 months up to the end of 2010, online shopping is the only area of retailing likely to record sales growth.

Meanwhile, a poll of 1000 UK adults for the report suggests Brits are already turning to e-commerce as the recession provokes a "mood of considered consumption".

Around a quarter of those questioned believe online shopping will become the norm and the high street will eventually die out.

Nearly 40% of e-shoppers now believe that it is easier for them to budget by purchasing items over the Internet rather than the high street, while 47% believe their money goes further online.

Around seven in ten consumers say they gather as much information as possible before committing to a purchase, and 62% of Web shoppers believe that the best deals are only available online.

When it comes to banking, 7.1 million online shoppers have done all or most of their financial services shopping on the Internet over the last six months. UK adults shopping in this online category have spent an average of £764 each.

The trend has a silver lining for PayPal, which currently claims a 21% share of consumer Internet payments. Almost one in every ten pounds spent online globally is currently sent using the P2P service says the company.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

PayPal UK's favourite financial Web site

PayPal UK's favourite financial Web site

01 April 2009  |  10313 views  |  1 comments
Paypal to build new Centre of Excellence in Dublin

Paypal to build new Centre of Excellence in Dublin

31 March 2009  |  6960 views  |  0 comments
Ebay looks to double PayPal revenue

Ebay looks to double PayPal revenue

12 March 2009  |  7298 views  |  0 comments
US e-tailers to lose $4bn to fraud in 2008 - CyberSource

US e-tailers to lose $4bn to fraud in 2008 - CyberSource

10 December 2008  |  6709 views  |  0 comments
Crunch hit Brits turn to online shopping

Crunch hit Brits turn to online shopping

18 July 2008  |  5739 views  |  0 comments
EU to break down e-commerce borders

EU to break down e-commerce borders

20 June 2008  |  7899 views  |  0 comments
UK Web shopping defies economic downturn

UK Web shopping defies economic downturn

03 June 2008  |  4170 views  |  0 comments
Paypal opens online shopping site for Christmas

Paypal opens online shopping site for Christmas

15 November 2007  |  6897 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.vasco.comvisit www.niceactimize.comvisit www.ebaday.com

Who is commenting?

Top topics

Most viewed Most shared
Buffett rubbishes cryptocurrencies; South Korea preps exchange crackdownBuffett rubbishes cryptocurrencies; South...
11754 views comments | 16 tweets | 17 linkedin
Europe begins Open Banking era in subdued styleEurope begins Open Banking era in subdued...
9915 views comments | 32 tweets | 35 linkedin
Crypto mining threatened by power capacity concernsCrypto mining threatened by power capacity...
9683 views comments | 17 tweets | 18 linkedin
Exchanges call for global fintech standardsExchanges call for global fintech standard...
9385 views comments | 17 tweets | 13 linkedin
Wells Fargo to close 900 branchesWells Fargo to close 900 branches
9268 views comments | 14 tweets | 16 linkedin

Featured job

Find your next job