E-commerce Milestone: First Drop in Category Shoppers

Last Updated Oct 31, 2007 3:29 AM EDT

Travel Booking image by malias [cc, 2.0]This year marked the first in Forrester Research's ten-year history of tracking Internet spending that an e-commerce category has lost shoppers. Which category? Travel. Forrester's survey showed that 9 percent fewer people booked travel online this year than in 2005.

Though travel websites still report strong revenue, such growth is largely a result of remaining online bookers spending more -- the average online travel booker plans to spend 50% more this year than in 2005. The drop in online booking reflects the oft-antiquated system upon which online travel agents have relied. Many executives say the current travel e-commerce system is based on technology from the 60s; online retailers, on the other hand, who have experienced explosive growth in e-commerce revenue, have improved the shopping experience considerably through the years.

Travel Booking image by malias [cc, 2.0]