Online retail figures for UK

Shopping online now accounts for 10% of all retail sales in the UK and is forecast to be worth £30 billion in 2006.

According to the Interactive Media In Retail Group (IMRG) a further £20 billion of non-traditional consumer spending such as gambling and financial services is expected this year.

If that wasn't enough, IMRG predict that the Internet will influence another £30 billion of high street retailing as consumers conduct web-based research or react to information found online.

In a survey of 3,900 consumers, 44% were planning to increase their online spending in 2006. But 52% were planning to decrease their high street spending.

There is a clear spike in sales around Christmas and it gets stronger each year. In 2001-2002 the spike is barely detectable but in 2005-2006, sales in December 2005 was £500 million higher than in October 2005 or January 2006. The spike in 2005 was about 20% on top of the underlying trend.

*First 4 months only, £30 billion forecast for the whole of 2006.
**Compared to the first 4 months in 2005.

The figures cover all retail sectors including travel which is the largest proportion of the total. The top 10  most-visited online retailers are:

1. Amazon UK
2. Dell
3. Argos
4. Tesco
5. Play
6. Amazon.com
7. Expedia
8. EasyJet
9. RyanAir
10. Apple Computer

Significance

With 26,000 different companies trading online in the UK, this rapid growth is a warning to retailers that have not adapted to the internet.