Brits embrace ecommerce

Research conducted for the CBI by the London Business School shows 93 per cent of companies already include ecommerce in their corporate strategy in some way.

Although 95 per cent of the 1,000 firms questioned currently derive just five per cent of their revenue from online business, the survey claims by 2003 over half of British companies will be taking 10 per cent or more of their annual revenue from the internet.

CBI director general Digby Jones welcomed the findings, predicting pioneering companies would reap rewards for their commitment to ebusiness. But in a statement he warned: "The e-laggards and the e-followers must not be left behind. Business and government must work closely together to harness the pioneering spirit of all UK businesses."

According to the CBI, the report dispels the myth that ecommerce has ground to a halt. Despite the trouble associated with dot-com firms, it claims traditional businesses are now leading a second wave of ebusiness action.

The telecoms, utilities and retail sectors are leading the charge, with financial services and distribution also spending an increasing amount of time and resources developing ecommerce. Manufacturers are the least progressive group, despite what the report describes as "the significant potential" of internet technology to transform the sector.

"The rags-to-riches stories of the dot-com entrepreneurs that have dominated the headlines have disguised what has really been going on," said Alan Buckle, CEO of KPMG Consulting. "A quiet revolution has begun inside British business."