Food and grocery soon to be e-retail's #1 sector
Verdict Research's latest analysis reports that e-retail in the UK has shown no signs of succumbing to the global economic slowdown, with online retail spending up by 35% to €18.6 billion in 2007. Electricals currently account for 25% of online retail spending, but Verdict said that food and grocery, with a faster online growth rate in 2007, was on course to make up 22% of all online sales by 2012.
Tesco.com continues to lead the sector, taking fourth place in the Top 50 UK shopping websites by volume of traffic.
Researchers have suggested that as shoppers increasingly e-shop, high streets are losing business, which in future could result in some shops and even shopping centres closing.
Between 1971 and 1992 the number of out-of-town superstores increased from 21 to 719 and by 2000 there were 960. According to some researchers, the consequence has been ‘food deserts’ (areas with a lack of opportunities for purchasing nutritional food within 500 m). 'Food deserts' may be one of the factors contributing to the increase of online grocery purchases.
The lower price of online goods, is another major contributing factor, along with the convenience of shopping 24/7 and deliveries at suitable times.


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