Study analyses significance of Scottish e-commerce market

Wednesday, June 20, 2012 - 11:01 by Simon Crisp

The annual value of the market for safe shopping online in Scotland could soon top £31 billion, sustaining around 200,000 positions of employment in the process, according to a report commissioned by Scottish Enterprise.

Analysts at SQW looked at the current state of e-commerce north of the border and found that this year around £10 billion will be added to the economy, as a result of safe shopping online.

In an interview with the Herald, it was industry insider, Peter Mowforth, who praised the report for the clarity of its findings and the potential impact that they will have.

While oil and gas are still major sources of revenue in Scotland, Mr Mowforth said that e-commerce is employing twice as many people as these two combined already.

The annual growth rate of e-commerce in Scotland is currently at 11 per cent, which Mr Mowforth points out is particularly impressive, when you consider that the UK is back in a state of negative growth as a whole.

It is noted that while e-commerce is expanding rapidly in Scotland, it is not quite up there with other areas of Britain, in terms of growth rates.

The UK as a whole is recognised as having one of the most exciting and dynamic e-commerce markets of any major economy in the world, with consumers more likely to participate in online shopping here, than almost anywhere else.

The Interactive Advertising Bureau Europe recently found that 32 per cent of consumer purchases are made online in the UK, indicating the strength of the market and the room for further development.

The Scottish executive is expected to make more of an effort to support e-commerce over the coming months and years, in order to realise the nascent potential which is clearly visible in the market, based on the recent report.