Broadband for all will boost web sales by £1.4bn

Faster browsing leads directly to more spending, research suggests.

Broadband to every home could boost British online revenues by up £1.4 billion, according to a report by the Institution of Practitioners in Advertising (IPA).

The boost could be delivered within a year if the government’s Digital Britain Universal Service Commitment (USC) goes ahead. The scheme aims to ensure that every home in the UK has access to 2Mbps broadband by 2012.

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Evidence from IPA’s Search Group experts reveals that visitors with a high speed internet connection are 36.9 percent more likely to make an online purchase than those a dial up connection.

Extrapolating that growth across the 5 percent of dial up users who would be upgraded to broadband delivers the £1.4 billion increase in online sales.

Rob Taylor, founder of TST Digital, which carried out the research on behalf of the IPA Search Group, says: “It’s evident from this research that the Government’s Digital Britain initiative represents a great opportunity to drive economic growth and competitive advantage.

“Not only could the higher connection speeds result in £1.4 billion more money directly entering the digital economy, it is also likely to lead to more jobs and greater digital expertise, not to mention a fantastic return on investment.”




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