Europe E-Commerce: B2B & B2C

Methodology

Technology Infrastructure Internet Usage Total E-Commerce B2C E-Commerce B2B E-Commerce Index of Charts

“While European telecom remains in the dumps, telecom-related services will outperform the overall technology market, even in the bleakest scenario. Even while telcos struggle with debt mountains and flat revenues, mobile subscribers will increase by 6% in Europe in 2003.” — Charles Homs, senior analyst, Forrester Research

Pyramid Research has also noted that European countries continue to invest in telecommunications. Germany and the UK are contributing a greater percentage of worldwide telecom spending than China, which at 4.2% ranks higher than France and Italy.

Worldwide Telecommunications Spending, by Country, 2001 (in billions and as a % of spending worldwide) US

$265.95 (25.6%)

Japan

$225.76 (21.8%)

Germany UK

$56.39 (5.4%) $46.37 (4.5%) China (PRC)

France

$44.02 (4.2%)

$39.35 (3.8%)

Italy

$32.10 (3.1%)

Brazil

$31.70 (3.1%)

Canada Australia

$21.27 (2.0%) $18.38 (1.8%)

Source: World Information Technology and Services Alliance (WITSA), International Data Corporation (IDC), February 2002 045300 ©2002 eMarketer, Inc.

Europe E-Commerce: B2B & B2C

Methodology Technology Infrastructure

Internet Usage Total E-Commerce B2C E-Commerce B2B E-Commerce Index of Charts

Studies have consistently shown that online tenure is a great indicator of inclination to purchase online, especially as users become more adept at navigation and learn to trust specific Web sites. According to America Online (AOL) and RoperASW, the majority of European Internet users have been online fewer than two years. Furthermore, a significant percentage still has less than a year online. Inexperience with the Internet will continue to be an inhibitor to e-commerce in Europe for the next several years.

Home Internet Users in Europe*, by Experience Online, 2001 & 2002 (as a % of respondents)