Home Internet Use Doubles In One Year
Home use of the internet has doubled over the last twelve months and a quarter of these users have used the Net to buy a product or service online. These are the findings of a new report released by Continental Research today.
During 1998 the size of the UK’s market in home internet use has grown to 11% or 5 million people and a further 5% claim that they expect to get access to the Net within the next six months. Alongside the growth in numbers there has also been an increase in how much time people use the internet, according to Continental’s fourth Internet Report. Almost half of those surveyed said that they go online at least once each week; this was only a third in 1997.
Colin Shaddick, director at Continental Research, said: “The internet continues to grow at a fantastic rate. Within six months a further 2.3 million people will more than likely sign up at home and 1.9 million at work – which shows incredible growth.”
Dixons’ Freeserve service, which offers free access to the internet with no rental or online charges, has just claimed to have over a million customers. This represents an enormous growth as the site was only launched in September last year (see Dixons Launches Free Internet Service).
Continental’s research also showed that Net users are still mostly male (66%) and that the internet remains the territory of affluent, white-collar families with an average income of over £36,000.
Interest in the web’s banner ads is also on the increase, according to Continental’s study. However, still less than half of users are interested in ads for the main product types. Software ads generate the most response from users (47%) but, interestingly, this is down on 53% in last year’s survey. Ads for music and holidays follow those for software, generating interest in 44% of users and 43% respectively.
It is expected that the next year or two will witness a surge in use of the internet for commercial activity. So far, many companies have been reluctant to dip their toe into the world of e-commerce and this trepidation has been reinforced by well-reported concerns over the security of transactional information carried over the web. More and more, though, websites are incorporating functions for booking and purchasing services or products.
The incredible success of Amazon.com, which sells books online, illustrates that web users are willing to enter transactional information, such as credit card numbers, whilst online. EMAP Online’s Aloud.com, which sells concert tickets, and a2btravel.com are both examples of successful electronic commerce. Auction sites, which use searchable databases of classified ads, are also on the increase. Newsquest, the regional newspaper publisher, recently announced that it was launching Auctionhunter.co.uk as part of its This Is… network of local city/region-based websites (see Newsquest Launches Internet Auction Sites).
A new study by Fletcher Research showed that shopping online in the UK is only just beginning to take off. The research group estimates that the UK Online shopping market should be worth £3.1 billion by 2003. Computers, travel, clothing, food & drink and books/music are the biggest online sellers, with computers accounting for 16% of the UK market, flights accounting for 7% and books/music for 6% (see UK Online Shopping To Soar, Says Research).
Continental Research: 0171 490 5944