Holiday Buying Jumps Among New Internet Users, Reports NPD Online Research; Brick-and-Mortar Companies With Online Sites Stand to Benefit the Most From Increase
PORT WASHINGTON, N.Y.--(BUSINESS WIRE)--Nov. 1, 1999--Newbies, those Internet users with less than six months experience using the Web, are more confident about shopping online this holiday season. According to a recent NPD Online Research survey, 62% of Internet Newbies plan to complete part of their holiday purchasing online, a jump of 100% compared to one year ago. Most will spend between $100 and $300.
Web sites associated with brick-and-mortar stores should benefit the most from online spending by Newbies. Major retail chains dominated the top sites where Newbies plan to shop this holiday, different from those sites preferred by more experienced Internet users.
Top 5 Web Sites To Be Shopped This Holiday
Newbies versus Net Vets
Newbies Site Preferences Net Vets Site Preferences
Amazon Amazon
Toys R Us Barnes & Noble
Wal-Mart eBay
eToys eToys
Barnes & Noble CDNow
"Currently, Internet companies are using traditional print and television advertisements to increase site awareness," explains Pamela Smith, vice president of NPD Online Research. "New Internet users are being exposed to online advertising more than ever. Such exposure brings a certain level of comfort, making the decision to buy online that much easier."
What is driving Newbies online this holiday season? Convenience is key, as 29% reported that the ability to save time makes them shop the Web. Other reasons included online price specials (20%), the ability to avoid crowds (18%), and curiosity (16%). Surprisingly, 40% of Newbies will miss none of the festivities available at brick-and-mortar stores - decorations, music and visits with Santa - when holiday shopping on the Web.
If Internet retailers want to capture more of the Newbies market, overcoming security concerns and issues intrinsic to online buying continues to require their attention. Twenty-six percent of Newbies didn't buy online because of a trust or security concern. The need to see before buying stopped 23%. Shipping costs proved too high for 10%. And 5% were too anxious about returning online merchandise.
About the Study
The NPD online holiday survey was conducted as part of the NPD Online Research omnibus survey. Four thousand, six hundred and one individuals from NPD's Online Panel, a Web representative sample of individuals prerecruited to participate in surveys, responded to the questionnaire in early September. The NPD online omnibus survey gives marketers the opportunity to share survey costs in order to monitor consumer attitude and behavior on a wide range of topics.
About NPD Online Research
NPD Online Research, a division of The NPD Group, is a leader in developing World Wide Web-based technologies to conduct and deliver market research and analysis. The NPD Online Panel is a prerecruited sample of Internet representative individuals used for conducting marketing research on the Web. NPD also offers SiteSelect sampling technology, allowing marketers to conduct random sample surveys on their own sites. Clients include leading companies such as Yahoo!, Excite, AOL, Lycos, Go Network, iVillage, First USA, GTE and Kraft Foods.
About The NPD Group
The NPD Group is an international marketing information company headquartered in Port Washington, NY. Founded in 1953, the firm specializes in tracking consumer purchasing and behavior. NPD offers both custom research capabilities and syndicated databases for more than 20 industries including apparel, automotive products, consumer electronics, cosmetics and fragrances, financial services, food, foodservice, footwear, housewares, information technology, interactive entertainment, pharmaceuticals, toys, and more. A leader in conducting research on and about the Internet, NPD is also the developer of the revolutionary Web audience measurement technology now marketed by Media Metrix, Inc. NPD has offices and affiliations in 36 countries, covering North America, South America, Europe, Asia and Australia.
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