UK’s E-Commerce Sector Valued at €174B in 2016

The e-commerce sector in the U.K. rose 17.8 per cent in 2016, as a majority of Internet users shopped for different items while they were online, according to an E-commerce Foundation survey.

The growth led the industry to reach a value of €174 billion in the previous year, including different consumer products such as clothing, electronics and household equipment.

Online Growth

The 2016 growth fared comparatively better in the last two years when e-commerce activity increased 14.6 per cent in 2015 and 10.9 per cent in 2014. The U.K. e-commerce sector also grew at a larger rate than its counterpart in the U.S., where the sector posted a 15.6 per cent growth in 2016.

According to the survey, 82 per cent of British Internet users used online channels to shop for consumer products. This partly drove the increase that will likely continue in 2017, when the expected growth rate is expected to reach 13.4 per cent growth. That figure would further lift the industry’s value to €197, according to the Ecommerce Foundation.

Shopping Spree

More than 57 million Britons used the Internet to buy something in 2016, the survey noted. Department stores posted an almost 20 per cent increase in online sales because of this. It even surpassed growth for grocery purchases and household items, which rose 14.1 per cent and 11.8 per cent, respectively.

Aside from electronics and household products, fashion was one of the most popular online categories in 2016. Since online retail has become more popular in recent years, it won’t be surprising if more e-commerce firms begin to advertise even gold bars for sale in the U.K.

Conclusion

More Britons have decided to use online facilities to shop for items, as evidenced by the survey. Do you find it more convenient to shop online instead of visiting a store?