Online shopping industry predicted to double its value
09 June 2015 - 09:38 by Graham Miller
A new report into the international e-commerce market, conducted by OC&C Strategy Consultants, has estimated that twice as much money will be spent online in 2018 than in 2015, according to the Telegraph.
The study assessed the state of online spending in the UK and Germany in Europe, as well as looking at the US and China, since these four countries currently account for the vast majority of spending in the entire global market. And so in three year’s time, an estimated £645 billion will be sunk into safe shopping online by consumers in this quartet of nations alone.
Close to a fifth of all retail spending in the UK is already channelled through e-commerce sites, but even with the maturity of the market here, there is more growth to come.
The report also points out that the shift towards mobile devices being used to make purchases has been pronounced, especially in the UK, where almost two thirds of all e-commerce transactions are carried out on smartphones or tablets. Compared to Germany’s 24 per cent penetration rate for the m-commerce market, this is a significant difference and suggests British consumers are well ahead of the curve.
Meanwhile, retailers based in the UK are also set to benefit from ongoing global expansion of the market, since the shift towards a multichannel approach to selling means that they can engage with consumers from many countries and fulfil deliveries, even if they do not have a bricks and mortar presence in certain overseas regions.
For example, the popularity of British retailers amongst Chinese consumers is growing, with increased spending power being committed to a variety of well known brands.
Interestingly, Brits are much more cautious about committing to a purchase with a non-domestic retailer, with trust issues and security concerns cited. But perhaps the sheer range of choice available in the UK makes looking further afield unnecessary.