Almost half of Internet users are buying products or services online

[November 28th 2000]

Among U.S. adults with Internet access (55 percent), almost half (47 percent) shop and purchase goods or services online, according to the latest Internet study by Scarborough Research.

The study found that Washington, D.C. topped the nationwide standings with 60 percent of 'cyber shoppers' - adults with Internet access at home and/or at work purchasing items or services online. Following closely - and well above the nation's average - are Seattle (59 percent); San Francisco (58 percent); Baltimore and Austin, Tex. tied with 56 percent penetration.

Ranking on the low end with the least percentage of wired adults using the Internet to purchase goods or services are: San Antonio (37 percent); Orlando (37 percent); Lexington, Ky. (37 percent); Greenville, S.C. (39 percent); and Fresno, Calif. (39 percent).

"Despite the Internet becoming a mainstream phenomenon and the increasing popularity of shopping online, we continue to see significant differences across the local markets as evidenced by the varying incidence of Internet penetration and online shopping," said Bob Cohen, president, Scarborough Research. "This is not surprising, given that shopping choices are largely still determined by the structure of the local retail marketplace. E-commerce driven 'dot coms' should recognize that this study identifies an opportunity, especially with the holiday season upon us, for them to closely target the local markets that rank high for shopping. This will give them a stronger likelihood for reaching their potential cyber shoppers."

The study also examined the average dollar amount spent by cyber shoppers. In the past year, over one-third (41 percent) charged between $100-$499 on goods and services online. Not quite one-fifth (17 percent) spent between $500-$999 and 16 percent spent more than $1,000. The most popular shopping items include: books (40 percent); music cds/tapes (30 percent); airline tickets or other travel reservations (38 percent); computer software (24 percent); clothes or accessories (21 percent); event tickets (18 percent) and toys/games (16 percent).

These online purchasers also use the Internet for research/education (51 percent); news (46 percent); financial information (36 percent); local information (30 percent); sports scores and updates (26 percent); and read newspapers online (23 percent).

These cyber shoppers spend varying degrees of time online. The largest portion, 35 percent, spent between one and four hours of their time a week on the Internet. Almost a quarter (23 percent) spent between five and nine hours, and 28 percent spend more that 10 hours a week on the Internet.

Cyber shoppers tend to be slightly more male (56 percent), between 18-34 (39 percent) and married (58 percent). Almost three-fourths have attended at least one year of college (73 percent) and two-thirds own their own home. This group of online consumers is affluent with more than one-third (35 percent) making $75,000 or more, over one-third (67 percent) own a cell phone and half (50 percent) have a gold or platinum credit card.

Links
Scarborough Research		http://www.scarborough.com