December 22, 2005, 12:00 AM

Canadians expected to spend C$1.9 billion online during holiday season

Canadians are expected to spend C$1.9 billion online during the holiday season, up 26.7% from C$1.5 billion a year ago, according to a new report from TNS Canadian Facts.

Kurt Peters

Executive Editor

 

Canadians are expected to spend C$1.9 billion online during the holiday season, up 26.7% from C$1.5 billion a year ago, according to a new report from TNS Canadian Facts. The study found that 39% of Canadian adult Internet users plan to do some holiday shopping online, each spending an average of C$327.

Of the 61% of Canadian Internet users with no plans to do any holiday-related shopping online, 42% said they prefer in-store shopping and 16% said they need to examine the product.

In addition, 12% of online Canadians said they would not shop on the Internet because they fear credit card fraud or mistrust the security of online transactions in general. 10% cited the high cost of shipping as a deterrent to online shopping, TNS said.

Books remained the most popular holiday gift purchases, with 44% of online shoppers planning to buy them, followed by videos and DVDs (42%), toys (40%), music (37%), electronics (35%) and apparel and accessories (32%).

Online holiday shoppers are most likely to buy goods from Sears.ca (41%), Futureshop.ca (40%), Indigo.ca (28%), Amazon.ca (27%), and Canadiantire.ca (27%), according to the study.

“The online retail market in Canada continues to be dominated by traditional retailers who treat online transactions as an extension of their overall sales strategy,” said Richard Jenkins, vice president and corporate of public opinion research.

 

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