Internet Sales Rise by 30% in 2007

New figures published today by the Office for National Statistics (ONS) ...

Internet sales by UK businesses rose to £163bn in 2007.

This is an increase of just over 30 per cent on the 2006 figure of £125.2bn

The results of the 2007 e-commerce survey, which was based on businesses with 10 or more employees, show large increases in the value of trade over the Internet and some levelling off in growth in the use of some Information and Communication Technologies (ICTs), such as computers, Internet access and websites. Saturation is being reached by most business groups in these ICTs.

Key findings of the survey include:

• Internet sales represented 7.7 per cent of the total value of all sales by non-financial sector businesses in 2007.
• Internet sales accounted for 39.3 per cent of the value of sales over all ICTs in 2007, up from 35.7 per cent in 2006.
• 30.4 per cent of the value of all purchases made by non-financial sector businesses were made over the Internet or other ICTs in 2007.
• 60.8 per cent of businesses used the Internet to interact with public authorities, such as government departments and local and regional authorities in 2007, an increase of nearly 18 per cent since 2006.
• 70.3 per cent of businesses had a website

Internet Connectivity September 2008

Data showed that broadband connections reached 94.1 per cent of all connections (residential and business) up from 92.8 per cent in June 2008.

The Impact of ICTs – International Study

ONS has led a group of 13 EU statistical offices in a programme to investigate the impact of how businesses use ICTs.

The results show that:

• High speed Internet access for workers is an important link to higher productivity
• Productivity effects vary by business type, especially in the service industries
• ICT use improves productivity by enabling the adoption of innovative ideas by firms, and speeding up the spread of new products and services from successful businesses
• Increased use of e-commerce (e-buying and e-selling) is a key element in improved productivity
• The UK is among those countries where ICT use is most strongly associated with higher productivity

The full report and further information can be found under ‘methodology’ at http://ec.europa.eu/eurostat/ict

BACKGROUND NOTES

1. Businesses with employment of less than 10 were not included in the 2007 survey. These businesses were covered until the 2004 survey, which means that some headline results of the 2005, 2006 and 2007 surveys are not directly comparable with earlier years.
2. Banking and Financial businesses are excluded from estimates relating to the proportions of businesses buying and selling over ICTs, and the values of their sales and purchases.
3. The 2005 and 2006 estimates of ICT usage and electronic trading have been revised as a result of updated estimates provided by businesses. 2002, 2003 and 2004 estimates have not been revised.
4. For further information on the 2007 e-commerce and ICT activity First Release, please go to http://www.statistics.gov.uk/STATBASE/Product.asp?vlnk=6645
5. Details of the policy governing the release of new data are available from the ONS press office.
6. National Statistics are produced to high professional standards set out in the National Statistics Code of Practice. They undergo regular quality assurance reviews to ensure that they meet customer needs. They are produced free from any political interference. © Crown copyright 2008.

[Source: UK Statistics Authority website: http://www.statisticsauthority.gov.uk or http://www.statistics.gov.uk
Crown Copyright material is reproduced with the permission of the Controller, Office of Public Sector Information (OPSI).]

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