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Online food shopping expected to double in five years
by - 19/01/2010
"The amount that Britons spend buying groceries online is set to double over the next five years, according to new estimates from the Institute of Grocery Distribution (IGD)."
New research from IGD, the food industry's trade body, forecasts that UK consumers will spend £7.2bn on food and grocery shopping online by 2014 – nearly double the figure for 2009.
The bullish growth forecasts come as Ocado, the online grocer that sells Waitrose products, prepares for a possible flotation this year. Observers believe that Ocado could float within months having seen strong Christmas sales.
The IGD said that in 2009, 13pc shopped online for groceries – an increase of 63pc on 2006. Its research showed that three out of five – around 61pc – online grocery shoppers use more than one online store for their food shopping. Almost half, 49pc, would like to try other supermarket websites, but many are put off by the perceived time and effort involved.
The IGD's Online Shopping 2009 report also found that 30pc of online grocery shoppers purchase less often than once a month, while 24pc intend to try an alternative online supermarket in the next three months.
Joanne Denney-Finch, chief executive of the IGD, said: "Our research shows there is a great opportunity for grocery retailers and manufacturers to encourage shoppers to try online food shopping.
"People are increasingly mixing the channels they use for their weekly or monthly shop. Many are choosing to visit their local store on a regular basis, while purchasing a number of bulk items, like tinned foods and toiletries, online less frequently."
She added that the future of grocery shopping is "multichannel", with people shopping in different ways and using various outlets – whether convenience stores, online or hypermarkets.
According to the Office for National Statistics 64pc of people have shopped online at some point.
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