Seven-Fold Increase in Australians Purchasing Online 26/07/00 According to the latest research from specialist agency, Red Sheriff, the number of Australians purchasing online has increased seven-fold from just 2% in 1997 to 14% in 2000. The research aimed to go beyond the numbers and take an in-depth look at what was motivating an increasing number of Australians to shop online. The findings are good news for the emerging e-tailing sector in Australia with strong long-term growth forecast as a growing number of younger adults turn increasingly to the Net to browse for products and services online. Figures from Red Sheriff earlier in 2000 indicated that the number of Internet users purchasing online would rise to one in every three users over the next year. According to Ian Lowe, Red Sheriff General Manager, Australia and New Zealand, "Currently the shopping segment remains dominated by the early adopters. They are experienced shoppers who have built up Net know-how over a series of stages, which includes trialing Internet banking or share trading prior to purchasing goods or services online. The market is now maturing, and with this customer experience and expectations are, and will, continue to increase. To survive in today’s online shakeout, e-tailers must focus on more than customer acquisition; they need to build customer retention. Savvy shoppers want convenience - open all hours; they expect competitive pricing - the Net is a commitment free shopping environment where customers enjoy a significantly greater degree of control over their purchasing decisions than offline." But, as is the case globally, the results continue to reinforce the pressing need for e-tailers to address consumer concerns regarding security. Lowe believes that this is the single largest obstacle to online purchasing in Australia.