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CE Shopping Shifting To e-Tail

7/06/2005 01:18:00 PM Eastern

Arlington, Va. — Online shopping for consumer electronics is gaining in popularity according to a new study by the Consumer Electronics Association (CEA).

While an average of 5 percent of all CE purchases are made online, certain product categories — including PCs, digital cameras, wireless home networking devices and MP3 players — each sell more than 10 percent of product through online channels, the study showed.

The report, based on a survey of over 1,000 U.S. adults, also indicated higher satisfaction with the online purchase process than the in-store shopping experience. Respondents cited convenience, order accuracy, product variety, product availability and product information among the top reasons.

Cyber shoppers also showed higher customer loyalty than those who make CE purchases in stores, with 52 percent claiming store brand loyalty. By comparison, only 37 percent of brick-and-mortar shoppers were deemed loyal in their CE purchasing behavior.

The study also found that consumers who buy at least some of their CE products online spend 67 percent more each year than those who do not make any CE over the Web. On average, multichannel shoppers spent $1,500 on CE purchases, with 29 percent of that bought online.

“Consumers will naturally gravitate towards a convenient means of purchase that makes them feel as though they have made a fair, well-informed decision in a setting that is easy to reach and work with,” postulated Joe Bates, research director at CEA.

The study, “The Demographics of Online vs. In-Person CE Shopping,” is available free to CEA member companies. Non-members may purchase the study for $499 at www.ce.org/CEAStore.

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