March 30, 2005

Why Some Consumers Don't Buy Online

Holdouts' Technology Pessimism Will Fade Over Time

by Carrie Johnson

with Sharyn Leaver, Sean Meyer

Executive Summary (This is a document excerpt)

Despite rapid online sales growth over the past 10 years, almost 30% of online North American consumers still have not made a purchase online. Although these consumers point to issues like credit card security and the ability to see an item before buying it, low technology comfort levels are the real culprit. This hesitance to embrace technology will dissipate as technology invades everyone's lives. To accelerate adoption, retailers must gain trust from shoppers and focus on winning over young females — the most hesitant group of online shoppers with the greatest future spending promise.

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