Growth of Online Shopping in the world

                  Throughout the world online buying has grown exponentially. The money Australians spend online is projected to increase by about $10 billion within the next five years. Consumers may still be concerned about the security of online shopping, but more and more of them are prepared to buy on the web. Faster delivery, easier return policies, and many sites offering free shipping have also increased the desirability of online buying. IBIS World research forecasts an 8.6% per year increase in online revenues over the next five years.

                  In South Africa, 51% of individuals with internet access shop online. In Kenya, 18-24% make online purchases. In Nigeria approximately 28% of the population has internet access according to ITU figures. The number of mobile cell phone subscriptions has topped 87 million. A new group of internet developers are eager to increase buying options by providing discounted deals on a wide range of products and services. Analysts indicate that a lack of convenient and reliable electronic payment services for online shoppers is a major problem confronted throughout Africa.

                      In the U.S., Forrester Research shows that $248.7 billion online sales are expected by 2014. A compounded growth of 10% is forecast for the next five years. In Western Europe sales are expected to reach 14 billion euros ($155.7 billion), a growth of 11% percent annually. Apparel, computers and consumer electronics will continue to be dominant purchases; these three areas make up 40% of the current online sales which won't change in the near future.

                    Online sales continue to be mostly small-ticket items. The high-ticket products lag far behind by comparison. On average, retailers that have both a physical (store) and online presence have reported an average of 23% growth. Online only retailers (including catalogue sales) however have seen only 9% yearly growth. Online shoppers are beginning to think that the best deals are available online (71%) and that they get better prices there (66%).

                     The internet is only going to become more popular as time goes by and purchasers worldwide become more comfortable about the security and on-time delivery of their purchases. This is the one area of merchandising that continues to have a positive outlook far into the future.