Over 875 Million Consumers Have Shopped Online - the Number of Internet Shoppers Up 40% in Two Years

Clothes/Shoes - Fastest Growing Internet Buys

'Visa' the Most Popular Credit Card Payment Method



Jan 27, 2008, 00:00 ET from The Nielsen Company

    NEW YORK, Jan. 27 /PRNewswire-USNewswire/ -- More than 85 percent of
 the world's online population has used the Internet to make a purchase --
 increasing the market for online shopping by 40 percent in the past two
 years -- according to the latest Nielsen Global Online Survey on Internet
 shopping habits. Globally, more than half of Internet users have made at
 least one purchase online in the past month, according to Nielsen.
 
     "The Internet is no longer a niche technology -- it is mass media and
 an utterly integral part of modern life. Almost no aspect of life remains
 untouched by online media. As our lives become more fractured and
 cluttered, it isn't surprising that consumers turn to the unrivalled
 convenience of the Internet when it comes to researching and buying
 products," said Jonathan Carson, President, International, Nielsen Online.
 
     "When The Nielsen Company conducted its first global survey into
 Internet shopping trends two years ago, approximately 10 percent of the
 world's population (627 million) had shopped online," said Bruce Paul, VP,
 Customized Research, Nielsen U.S. "Within two years, this number has
 increased by approximately 40 percent (to 875 million)."
 
     Among Internet users, the highest percentage shopping online is found
 in South Korea, where 99 percent of those with Internet access have used it
 to shop, followed by the UK (97%), Germany (97%), Japan (97%) with the U.S.
 eighth, at 94 percent. Additionally, in South Korea, 79 percent of these
 Internet users have shopped in the past month, followed by the UK (76%) and
 Switzerland (67%) with the U.S. at 57 percent.
 
     Globally, the most popular and purchased items over the Internet are
 Books (41% purchased in the past three months), Clothing/Accessories/Shoes
 (36%), Videos / DVDs / Games (24%), Airline Tickets (24%) and Electronic
 Equipment (23%).
 
     Among Germany's Internet users, 55 percent said they bought books, 42
 percent had bought Clothes/Accessories/Shoes and one in four had purchased
 Music/Videos/DVD's in the past three months.
 
     During the same period, among Internet users in the UK, 45 percent
 bought books online, followed by Videos/DVDs/Games (44%),
 Clothing/Accessories/Shoes (38%), Music (37%) and one in four Internet
 shoppers also purchased and Airline tickets/Reservations online.
 
     Among U.S. Internet users in the past month, 41 percent bought
 Clothing/Shoes/Accessories, 38 percent bought books and one in three
 Internet shoppers bought Videos/DVDs/Games.
 
     The number of Internet consumers buying books over the Internet has
 increased seven percent in the past two years but the biggest increase has
 been in Clothing / Accessories / Shoes which increased from 20 percent to
 36 percent. "Some of the biggest buyers of books on the Internet are from
 developing countries -- China, Brazil, Vietnam and Egypt -- indicating
 massive growth potential for online retailers that can specifically target
 these fast- growing markets," said Carson.
 
     Internet shopper interest in buying Videos/DVDs and airline
 tickets/reservations rose two and three percentage points respectively over
 the Internet in the past two years -- today one in four online shoppers
 globally said they had purchased these on the 'Net in the past three
 months.
 
     More than 70 percent of Indians and more than 60 percent of Irish and
 UAE Internet users said they bought airline tickets/reservations on the
 Internet in the last three months, making travel the fourth most popular
 shopping category on the web.
 
     "Travel is a category extremely suited to the Internet due to the
 latter's ability to provide efficient access to an extremely wide range of
 comparable information. Whilst certain areas of the travel industry were
 initially slow to utilize the benefits of the Internet, it is now one of
 the undoubted success stories of online, playing an integral part in the
 arrangements and experience of today's traveler," said Carson.
 
     One in four global Internet users bought DVDs/Videos online in the last
 three months, with UK users topping the list (44%), followed by South
 Africans (38%). The U.S. was fifth at 31 percent.
 
     Payment Methods for Internet Shopping
 
     Credit cards are by far the most common method of payment for online
 purchases -- 60 percent of global online consumers used their credit card
 for a recent online purchase, while one in four online consumers chose
 PayPal. Of those paying with a credit card, more than half (53%) used Visa.
 
     Turkish online shoppers (who represent the economic elite in that
 country) topped global rankings for credit card usage (91%) for online
 purchases followed by 86 percent of Irish online shoppers and 84 percent of
 Indian and UAE online shoppers. "Shopping on the Internet with the ease of
 a credit card is especially appealing to consumers in emerging markets who
 simply cannot find or buy items they want in their retail trade. The
 Internet has opened up a whole new world of shopping for these consumers,"
 said Paul.
 
     While Latam and Asian online shoppers are also more likely to use
 credit cards than any other form of payment, debit cards are most popular
 among UK (59%) and U.S. (40%) online shoppers.
 
     Selecting Online Shopping Sites
 
     According to Nielsen, online shoppers tend to stick to the shopping
 sites they are familiar with, with 60 percent saying they buy mostly from
 the same site. "This shows the importance of capturing the tens of millions
 of new online shoppers as they make their first purchases on the Internet.
 If shopping sites can capture them early, and create a positive shopping
 experience, they will likely capture their loyalty and their money," said
 Paul.
 
     In selecting sites on which to shop, one-third used a search engine or
 just surfed around to find the best online store. One in four relied on
 personal recommendations.
 
     "Recommendations from fellow consumers -- whether they are people they
 know or fellow online shoppers -- play an enormous role in the
 decision-making process. The explosion in Consumer Generated Media over the
 last year means that this reliance on word of mouth, over other forms of
 referral, looks set to increase," said Carson.
 
 
Top 10 Online Retailers - December 07 Unique Audience Dec 07 Unique Dec 07 Active Rank Retailer Audience Reach 1 eBay 124,132,042 36.1 % 2 Amazon 99,863,339 29.1 % 3 Target 37,717,553 11.0 % 4 Wal-Mart Stores 36,994,959 10.8 % 5 Best Buy 24,089,267 7.0 % 6 Circuit City 19,725,537 5.7 % 7 Sears 17,651,868 5.1 % 8 ToysRUs 17,610,395 5.1 % 9 Overstock.com 17,192,765 5.0 % 10 JCPenney 16,331,132 4.8 % Source: Nielsen Online, December 2007 Top 10 Apparel / Beauty Retailers - December 07 Unique Audience Dec 07 Unique Dec 07 Active Rank Apparel/Beauty Retailer Audience Reach 1 eBay Clothing Shoes & Accessories 22,865,384 6.7 % 2 eBay Jewelry and Watches 8,561,389 2.5 % 3 L.L. Bean 5,886,068 1.7 % 4 Victoria's Secret 5,789,312 1.7 % 5 Zappos.com 5,747,256 1.7 % 6 Lands End 5,696,973 1.7 % 7 Old Navy 5,182,397 1.5 % 8 Sephora 5,179,496 1.5 % 9 AVON 4,779,203 1.4 % 10 eBay Health & Beauty 4,336,616 1.3 % Source: Nielsen Online, December 2007 About The Nielsen Global Online Survey The Nielsen Global Online Survey is the largest half-yearly survey of its kind, aimed at gauging current confidence levels, spending habits/intentions and current major concerns of consumers across the globe. The latest survey, conducted from October to November 2007, polled 26,312 Internet users in 48 markets from Europe, Asia Pacific, North America and the Middle East. The survey is representative of all Internet users aged 15+. About Nielsen Customized Research Nielsen Customized Research, operating in more than 100 countries, provides clients with survey research, analytical and consulting services, including measures of consumers' attitudes and purchasing behavior, segmentation, brand equity, pricing, packaging, advertising effectiveness, customer satisfaction & loyalty and other marketing issues. About The Nielsen Company The Nielsen Company is a global information and media company with leading market positions in marketing information (ACNielsen), media information (Nielsen Media Research), online intelligence (NetRatings and BuzzMetrics), mobile measurement, trade shows and business publications (Billboard, The Hollywood Reporter, Adweek). The privately held company is active in more than 100 countries, with headquarters in Haarlem, the Netherlands, and New York, USA. For more information, please visit, www.nielsen.com

SOURCE The Nielsen Company
    NEW YORK, Jan. 27 /PRNewswire-USNewswire/ -- More than 85 percent of
 the world's online population has used the Internet to make a purchase --
 increasing the market for online shopping by 40 percent in the past two
 years -- according to the latest Nielsen Global Online Survey on Internet
 shopping habits. Globally, more than half of Internet users have made at
 least one purchase online in the past month, according to Nielsen.
 
     "The Internet is no longer a niche technology -- it is mass media and
 an utterly integral part of modern life. Almost no aspect of life remains
 untouched by online media. As our lives become more fractured and
 cluttered, it isn't surprising that consumers turn to the unrivalled
 convenience of the Internet when it comes to researching and buying
 products," said Jonathan Carson, President, International, Nielsen Online.
 
     "When The Nielsen Company conducted its first global survey into
 Internet shopping trends two years ago, approximately 10 percent of the
 world's population (627 million) had shopped online," said Bruce Paul, VP,
 Customized Research, Nielsen U.S. "Within two years, this number has
 increased by approximately 40 percent (to 875 million)."
 
     Among Internet users, the highest percentage shopping online is found
 in South Korea, where 99 percent of those with Internet access have used it
 to shop, followed by the UK (97%), Germany (97%), Japan (97%) with the U.S.
 eighth, at 94 percent. Additionally, in South Korea, 79 percent of these
 Internet users have shopped in the past month, followed by the UK (76%) and
 Switzerland (67%) with the U.S. at 57 percent.
 
     Globally, the most popular and purchased items over the Internet are
 Books (41% purchased in the past three months), Clothing/Accessories/Shoes
 (36%), Videos / DVDs / Games (24%), Airline Tickets (24%) and Electronic
 Equipment (23%).
 
     Among Germany's Internet users, 55 percent said they bought books, 42
 percent had bought Clothes/Accessories/Shoes and one in four had purchased
 Music/Videos/DVD's in the past three months.
 
     During the same period, among Internet users in the UK, 45 percent
 bought books online, followed by Videos/DVDs/Games (44%),
 Clothing/Accessories/Shoes (38%), Music (37%) and one in four Internet
 shoppers also purchased and Airline tickets/Reservations online.
 
     Among U.S. Internet users in the past month, 41 percent bought
 Clothing/Shoes/Accessories, 38 percent bought books and one in three
 Internet shoppers bought Videos/DVDs/Games.
 
     The number of Internet consumers buying books over the Internet has
 increased seven percent in the past two years but the biggest increase has
 been in Clothing / Accessories / Shoes which increased from 20 percent to
 36 percent. "Some of the biggest buyers of books on the Internet are from
 developing countries -- China, Brazil, Vietnam and Egypt -- indicating
 massive growth potential for online retailers that can specifically target
 these fast- growing markets," said Carson.
 
     Internet shopper interest in buying Videos/DVDs and airline
 tickets/reservations rose two and three percentage points respectively over
 the Internet in the past two years -- today one in four online shoppers
 globally said they had purchased these on the 'Net in the past three
 months.
 
     More than 70 percent of Indians and more than 60 percent of Irish and
 UAE Internet users said they bought airline tickets/reservations on the
 Internet in the last three months, making travel the fourth most popular
 shopping category on the web.
 
     "Travel is a category extremely suited to the Internet due to the
 latter's ability to provide efficient access to an extremely wide range of
 comparable information. Whilst certain areas of the travel industry were
 initially slow to utilize the benefits of the Internet, it is now one of
 the undoubted success stories of online, playing an integral part in the
 arrangements and experience of today's traveler," said Carson.
 
     One in four global Internet users bought DVDs/Videos online in the last
 three months, with UK users topping the list (44%), followed by South
 Africans (38%). The U.S. was fifth at 31 percent.
 
     Payment Methods for Internet Shopping
 
     Credit cards are by far the most common method of payment for online
 purchases -- 60 percent of global online consumers used their credit card
 for a recent online purchase, while one in four online consumers chose
 PayPal. Of those paying with a credit card, more than half (53%) used Visa.
 
     Turkish online shoppers (who represent the economic elite in that
 country) topped global rankings for credit card usage (91%) for online
 purchases followed by 86 percent of Irish online shoppers and 84 percent of
 Indian and UAE online shoppers. "Shopping on the Internet with the ease of
 a credit card is especially appealing to consumers in emerging markets who
 simply cannot find or buy items they want in their retail trade. The
 Internet has opened up a whole new world of shopping for these consumers,"
 said Paul.
 
     While Latam and Asian online shoppers are also more likely to use
 credit cards than any other form of payment, debit cards are most popular
 among UK (59%) and U.S. (40%) online shoppers.
 
     Selecting Online Shopping Sites
 
     According to Nielsen, online shoppers tend to stick to the shopping
 sites they are familiar with, with 60 percent saying they buy mostly from
 the same site. "This shows the importance of capturing the tens of millions
 of new online shoppers as they make their first purchases on the Internet.
 If shopping sites can capture them early, and create a positive shopping
 experience, they will likely capture their loyalty and their money," said
 Paul.
 
     In selecting sites on which to shop, one-third used a search engine or
 just surfed around to find the best online store. One in four relied on
 personal recommendations.
 
     "Recommendations from fellow consumers -- whether they are people they
 know or fellow online shoppers -- play an enormous role in the
 decision-making process. The explosion in Consumer Generated Media over the
 last year means that this reliance on word of mouth, over other forms of
 referral, looks set to increase," said Carson.
 
 
Top 10 Online Retailers - December 07 Unique Audience Dec 07 Unique Dec 07 Active Rank Retailer Audience Reach 1 eBay 124,132,042 36.1 % 2 Amazon 99,863,339 29.1 % 3 Target 37,717,553 11.0 % 4 Wal-Mart Stores 36,994,959 10.8 % 5 Best Buy 24,089,267 7.0 % 6 Circuit City 19,725,537 5.7 % 7 Sears 17,651,868 5.1 % 8 ToysRUs 17,610,395 5.1 % 9 Overstock.com 17,192,765 5.0 % 10 JCPenney 16,331,132 4.8 % Source: Nielsen Online, December 2007 Top 10 Apparel / Beauty Retailers - December 07 Unique Audience Dec 07 Unique Dec 07 Active Rank Apparel/Beauty Retailer Audience Reach 1 eBay Clothing Shoes & Accessories 22,865,384 6.7 % 2 eBay Jewelry and Watches 8,561,389 2.5 % 3 L.L. Bean 5,886,068 1.7 % 4 Victoria's Secret 5,789,312 1.7 % 5 Zappos.com 5,747,256 1.7 % 6 Lands End 5,696,973 1.7 % 7 Old Navy 5,182,397 1.5 % 8 Sephora 5,179,496 1.5 % 9 AVON 4,779,203 1.4 % 10 eBay Health & Beauty 4,336,616 1.3 % Source: Nielsen Online, December 2007 About The Nielsen Global Online Survey The Nielsen Global Online Survey is the largest half-yearly survey of its kind, aimed at gauging current confidence levels, spending habits/intentions and current major concerns of consumers across the globe. The latest survey, conducted from October to November 2007, polled 26,312 Internet users in 48 markets from Europe, Asia Pacific, North America and the Middle East. The survey is representative of all Internet users aged 15+. About Nielsen Customized Research Nielsen Customized Research, operating in more than 100 countries, provides clients with survey research, analytical and consulting services, including measures of consumers' attitudes and purchasing behavior, segmentation, brand equity, pricing, packaging, advertising effectiveness, customer satisfaction & loyalty and other marketing issues. About The Nielsen Company The Nielsen Company is a global information and media company with leading market positions in marketing information (ACNielsen), media information (Nielsen Media Research), online intelligence (NetRatings and BuzzMetrics), mobile measurement, trade shows and business publications (Billboard, The Hollywood Reporter, Adweek). The privately held company is active in more than 100 countries, with headquarters in Haarlem, the Netherlands, and New York, USA. For more information, please visit, www.nielsen.com SOURCE The Nielsen Company