Broadband News

UK consumers turn to the internet for Christmas shopping

Thursday 01 December, 2011

By Duncan Heaney

Studies from Royal Mail and PayPal reveal record numbers of UK shoppers heading online to buy Christmas gifts.

It could be a very merry Christmas for online retailers. New research from Royal Mail has found that nearly 32 million people in the UK (65% of adults) intend to do their Christmas shopping over the internet this year.

In fact, four in five online shoppers (84%) have already made a start. The study found that more than 10 million people have bought presents early to take some of the pressure off this holiday season. An additional 8.5 million consumers have decided to spread the cost of Christmas by shopping early, and two million are playing it safe - buying gifts early in case they need to return them.

Of those that have started their shopping already, the majority are women. Only 20% of women wait until December to start buying presents, compared to 35%of men.

Royal Mail’s findings are echoed by PayPal. A survey conducted last month for the online payment service revealed that more than three-quarters of consumers (79%) plan to do at least part of their Christmas shopping over the internet - more than ever before.

This surge is being driven by a number of factors, particularly bargain hunting, which emerged as the primary reason consumers buy gifts through the internet. Almost two-thirds (65%) of survey participants admitted they go to online retailers to find offers and save money. Free delivery was also cited as a strong incentive to shop online by 35% of participants, as was speed and convenience (30%).

With the increase in online traffic comes an increase in spending. According to PayPal, online shoppers plan to spend an average of £245 on Christmas shopping this year - an 8% increase compared to last year. The company predicts online shoppers will spend £9.5 billion during the approach to Christmas.