Gap Between UK and US Online Shopping Habits Set to Close This Holiday Season

Gap Between UK and US Online Shopping Habits Set to Close This Holiday Season

LONDON and HAZLET, N.J., Dec. 17 /PRNewswire/ -- The gap between the proportion of UK and US consumers buying online will be closed this holiday season, according to research commissioned by payment processor and card fraud prevention expert Retail Decisions (ReD).

Forty-three percent of those surveyed in the UK said they intend to shop online this holiday season compared with 46 percent in the US. However, the gap was much wider last year -- only 21 percent of UK shoppers purchased online at holiday season compared with 31 percent in the USA.

Online buying habits this holiday season will be similar both sides of the Atlantic with books, holidays/flights and hotel stays featuring in the top 3 items in both countries. CDs made fifth position in both the US and the UK.

USA UK
1 Books 22% Holidays/flights 27%
2 Holidays/flights 22% Hotel stay 20%
3 Hotel stay 20% Books 19%
4 Clothes 17% DVDs/videos 17%
5 CDs 16% CDs 17%



The age profile of online shoppers is also similar in both countries. The largest group is the 35-49 year age range - accounting for 33 percent in the UK and 32 percent in the US.

-- In both countries, the 50-64 age range makes up around 20 percent
-- The over-65s account for 6 percent in the UK and 7 percent in the US
-- However, the survey shows UK shoppers are more likely to shop by mail
order and telephone this holiday season than US shoppers.
-- Twenty-six percent of those surveyed in the UK said they intend
shopping by mail order, compared with only 18 percent in the US
-- Twenty-six percent in the UK said they intend shopping by telephone,
compared with only 20 percent in the US
-- Seven percent in the UK also said they intend shopping by via
interactive TV (iTV), compared with 6 percent in the US



In both countries, the majority of those intending to shop online are positive about the experience, despite continued concern about card fraud on the net. Fifty-seven percent in the UK and 60 percent in the US said there is nothing negative about the online shopping experience.

However, data from ReD shows a 46 percent rise in potentially suspicious transactions on the internet compared with last year. ReD also predicts that internet fraud will increase dramatically in the New Year due to the introduction of Chip and PIN in the UK, forcing card fraudsters away from traditional in-store shopping. Instead, they will be looking for ways to use stolen and skimmed credit cards in card-not-present environments -- internet, telephone, interactive TV and mail order.

"Websites often say they are protected when all they mean is the payment card details are encrypted. While this limits the ability of hackers to access these card details, it is only part of the fight against payments fraud," says Carl Clump, chief executive of Retail Decisions plc. "ReD's card fraud prevention services maximize the number of transactions that can be safely accepted while minimizing the consumer's and retailer's exposure to fraudulent transactions."

Online retailers risk losing customers if the transaction process takes too long, the research also reveals, particularly as the most common reasons cited for shopping online are speed, ease of use and convenience.

"Delays are usually caused by manual, offline processes -- or when additional security measures, such as pre-registration, are introduced," says Clump. "ReD processes over one billion transactions per year and each takes less than a second to complete. We ensure that the consumers experience is seamless, safe and secure."

Enquiries:
ING MEDIA +44 207 247 8334
Barbara Marshall, Associate Director
Frederique Slezak, Account Manager
Retail Decisions plc +44 1483 728 700
Angela Yore, Marketing Manager
Retail Decisions, Inc.
Kami Boyer, Marketing Manager +1 401 228 2386


About NOP World Group


NOP World Group interviewed 1000 adults by telephone on December 3, 2004. The sample has been weighted to bring it into line with national population profiles.

About Retail Decisions

Retail Decisions, Inc. (ReD USA) is a wholly owned subsidiary of Retail Decisions plc.

Retail Decisions is an international electronic payment transaction services business that provides fraud prevention, enterprise-wide payment processing and value-added transaction and consulting services to the retail, finance, telecommunications and e-commerce sectors. ReD is able to predict and prevent payment card fraud, process high volumes of credit card and electronic check transactions and has a platform for a full range of transaction based value-added services.

ReD has more than 16 years experience in payment card risk management and processing services with operations in the United States, Europe, South Africa and Australia.

Retail Decisions plc is listed on the London Stock Exchange . For more information regarding Retail Decisions, visit www.redplc.com or http://www.red-usa.com/.

NOTE TO EDITORS: Contact Kami Boyer at ReD to find out more about the
full results of the Holiday season Shopping Survey.
The surveys, undertaken by NOP asked 1,000 consumers aged 18 and above
about their online, mail order and telephone shopping intentions this holiday
season. Data is available by age, sex, region and social group.


Source: Retail Decisions

CONTACT: Barbara Marshall, Associate Director or Frederique Slezak,
Account Manager of ING MEDIA +44 207 247 8334; or Angela Yore, Marketing
Manager, +44 1483 728 70, or Kami Boyer, Marketing Manager, +1-401-228 2386,
both of Retail Decisions, Inc.

Web site: http://www.red-usa.com/


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