UK e-commerce is expected to reach €173.7 billion (10.5% growth) in 2016, according to a new report.
Last year, the British e-commerce industry increased by 11% to €157 billion. The report, United Kingdom B2C E-commerce Report 2016, shows that over 43 million Brits shopped online last year, of which 20% used a mobile device for doing this. On average, the British online shopper spent €3,652.
As said, the British e-commerce turnover is expected to increase by 10.5% and reach almost €174 billion at the end of this year. The growth rate has slowed down during the last couple of years, but this can be seen as a sign that e-commerce is only becoming more and more matured.
Just as in many other countries, clothing is by far the most popular online category in the United Kingdom. Shoes & Lifestyle and Media & Entertainment are other popular product categories. When it comes to online services, travel is the service group where most money is spent by consumers. Flight tickets and hotels account for half of the market share, followed by package travel and private transport.
M-commerce in the UK
Mobile sales accounted for €31.1 billion in 2015, which is about 20% of total e-commerce turnover in this European country. Last year, seven out of ten Brits who are 15 years or older used a smartphone. Back in 2012, this percentage was just 51%. Now, 65% of British adults own both a tablet and a smartphone.
Payment methods in the UK
When it comes to online payments, debit cards rule the market. Last year, 45% of British online purchases are made through debit cards. Electronic wallet such as PayPal (23%), credit cards (14%) and bank transfers (6%) are other popular payment methods.