A new report by eMarketer reveals that although the economic slowdown in the US has slowed technology spending, many businesses have begun to use some form of online trading as part of normal practice. The most common of these is purchasing online via a supplier’s website although other areas of online B2B trading are developing.
North America currently accounts for just over 70% of online trade, eMarketer estimates that by 2005, worldwide B2B ecommerce will be worth $2.7 trillion. As with most online services, other regions of the world are expected to rapidly catch up to North America. eMarketer expects B2B commerce in Europe to surpass $797 billion in Europe and $300 billion in Asia by 2005.
“Several companies are now announcing the results of their early e-business efforts,” said Steve Butler, senior analyst at eMarketer. “For example, IBM has done more than $43 billion in electronic procurement during 2000, while Boeing is now processing more than 20,000 daily transactions via its website. Although the bubble has burst for many independent B2B exchanges, the majority of large enterprises continue to see e-business as a long term strategy, and they are already moving into the next-generation of their e-business implementations.”
B2B Revenue Forecasts From eMarketer
| |
2004 |
| Europe |
$797 billion |
| Asia |
$300 billion |
| Global |
$2.7 trillion |
