It’s no secret that the world’s economies are converting from a bricks and mortar retail model to an Internet-based ecommerce model. A recent study by the Boston Consulting group aimed to quantify the rate of this paradigm shift throughout the countries of the world and rank the world in terms of ecommerce adoption.
The study generally found that the emerging markets are growing at a faster rate than the already industrialised countries.
The study also found that among the Group of 20 nations, Internet related commerce accounts for the greatest economic impact in the United Kingdom. The study places the contribution of Internet related revenues at £121billion in the United Kingdom. This number is fully 8.3 percent of gross domestic product and if compared to other measured economic sectors in the UK would rank above construction revenues, education or the utilities.
A huge enabler of this Internet growth is business web hosting. Online shops and other sources of digital business revenues are clearly propelling the UK forward at a blistering rate compared to other developed world economies. The Boston Consulting Group found that fully 13.5 percent of all consumer retail spending in the UK was carried out online. The group projects that this number will increase to 23 percent by 2016. At that point online buyers in the UK are projected to be spending £225 annually.
As noted by the Boston Consulting Group, ”Businesses, particularly small and medium enterprises (SMEs) – the growth engine of most economies – have been uneven in their uptake, but they are moving online in increasing numbers and with an increasingly intense commitment.”
Stuart Melling has been working with UK businesses on their ecommerce ventures for over a decade as the co-founder of 34SP.com. Mr. Melling stated, ”It’s no wonder that UK businesses are migrating online in ever faster numbers. Consumers have proven that they want convenience, variety and speed when considering retail purchases these days. Online ecommerce provides all these factors in one easy to navigate package. This study confirms what we have been seeing at 34SP.com – businesses are eager to grow where current customer demand is the greatest. Today that demand in online. Our business hosting offering has proven very popular since its launch and the demand for a robust business hosting solution continues unabated.”
Other industrialised nations are growing their Internet revenues as well. South Korea maintains the second largest Internet economy with 7.3 percent of gross domestic product created by online activities. China is generating 5.5 percent of GDP from online, with Japan and the United States both generating 4.7 percent.
To learn more about the Boston Consulting Group study please visit: https://www.bcgperspectives.com.