The number of online shoppers has now reached over 1.6 million (49% of the total population aged 18+), an increase of 122,000 on the previous year and more than double since 2004. (see chart right)

Nielsen, the leading global provider of information and insights, has also found those shopping online are now rapidly increasing the frequency of their purchases.

The number of customers who bought six or more items in the past year increased by 21% compared to 2010 and those buying 11 or more grew by 38%.

The most popular products and services are airline tickets, with 50% of online shoppers purchasing in this category, followed by clothing/shoes/accessories (32%), books/magazines (29%), entertainment tickets (27%) and travel-related services such as accommodation and car hire (24%).

The Nielsen Online Retail Report identifies a combination of factors for the increasing popularity of online retail:

• Convenience of comparing products and prices.
• Promotional emails from daily deal sites.
• Development in technology, specifically broadband and usage of the internet via mobile phones.
• Increased trust in the security of online transactions.
• Increased opportunity to purchase products outside of the consumer’s locality. 

Nielsen NZ associate research director Tony Boyte says: "There appears to be potential for even more growth with consumers indicating a willingness to purchase online across a much wider range of categories.

"The number of people researching products and services on the internet is now ubiquitous. This presents an opportunity for online retailers to convert these browsers into buyers."