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UK Consumers Ditch High Street for Web Shops

 - Wednesday 15th September 2004


UK consumers are becoming increasing savvy to the benefits of shopping online, according to research from Alliance & Leicester Personal Loans. However, consumers remain wary when it comes to buying financial products over the Internet.

Most consumers (87) are using the internet to purchase goods and services more now than they did five years ago, the survey found.

Nearly three quarters (73) believe they can get a better price or a discount online, and over half (59) think that its easier to compare prices online.

In the past year, nearly half (46) of people have used the internet to book a holiday, 45 to buy books and 34 to buy and order electrical items, such as a TV or DVD player.

Over a third of UK consumers (38) buy something online every couple of weeks. Last year, the average consumer spent 770 on goods via the Internet, according to the survey.

Despite this upward trend towards shopping via the internet for consumer goods, when it comes to buying financial products it seems people are more reluctant to go online.

Only 23 of those who have applied for a personal loan over the past five years, did so on the internet.

Alliance & Leicester attributed this reluctance appears to several customer perceptions about online financial services. Nearly a fifth (19) believe that they will get a better deal talking face to face with someone, while a similar number (18) were wary of giving out their details online because of security concerns.

15 believe that they will get a better rate dealing direct with their own bank, and 9 think that applying online for a loan is too difficult and complicated.

Andy Bayes, head of personal loans, Alliance & Leicester said With these positive and savvy attitudes at large, it is surprising that more people dont realise the gains that can be made by researching and applying online for a personal loan too.

The survey was carried out by Ugov on behalf of Alliance & Leicester Personal Loans.

Source: Net Imperative



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