Forrester Research has downgraded its European online retail spending forecasts in the light of European Commission cuts to consumption growth.
“In April 2001, the European Commission predicted that private consumption would grow 2.7% in 2001 and 2.3% in 2002. But in November last year, the Commission downgraded its April prediction to 2.3% growth in 2001 and 1.7% growth this year. The OECD and the IMF have published similar, lower predictions for the European economy,” said Forrester Research Director Jaap Favier.
Forrester research predicts that consumers will purchase 57% more online in 2003 than they will in 2002. “The bargain hunters of early 2002 will have become tenured Net buyers and will extend their purchases to more retail categories and bigger-ticket items,” adds Favier.