Confidence Gap Exposed In Online Initiative

Government plans to ensure that consumers have access to the internet and to deliver all government services electronically¹ by 2005 is no guarantee that consumers will actually choose to deal online.

This is the conclusion drawn by the National Consumer Council from its survey into different consumer attitudes towards e-commerce^2. The survey shows that just providing access to computers is too simplistic and unlikely to solve the real problems faced by vulnerable people in society.

The results³ imply that, among those who had not yet tried the internet, there is little motivation to start. Even among internet users themselves, well over half (55 per cent) could not give a reason to start buying or to buy more online. This is particularly the case among poorer people, older people and other disadvantaged groups who are low internet users anyway. These groups include those most likely to need government services but who have fewer opportunities to gain the necessary experience - for instance through their work.

National Consumer Council Director, Anna Bradley, said:

"This survey shows that using the internet is not just about having access to a computer. It's also about having confidence in your abilities and understanding your rights. Someone who lacks confidence in their computer skills is unlikely to ask for help at a public access point when they're dealing with personal information. Who would want to risk putting themselves in this position when they're organising sensitive issues such as their health or finances?"

Privacy and security are major contributing factors to this reluctance, as was found in the Council's previous report on e-commerce⁴. Many consumers are uneasy about who has access to information about them, how they use it, and who they share it with. The government will have to work hard to ensure their standards are higher than the current situation in the commercial sector revealed in a study published this week by Consumers International⁵.

Technical details

1. The UK online initiative launched by the Prime Minister on 11 September had a threefold aim: to ensure universal access to the internet by 2005; to get all Government services online by that date; and to make Britain one of the world's leading knowledge economies.
2. The poll was carried out on behalf of NCC by MORI. The qualitative stage took place between February and March 2000 with 83 participants. The quantitative survey was conducted as part of MORI's Omnibus in April 2000, during which time 1,950 adults were interviewed. The final survey consisted of 1,021 adults in Scotland and Wales who were interviewed in April and May 2000. The report, e-commerce and consumer protection: demographic differences, is available for 1636 from the National Consumer Council, tel 020-7730 3469, or visit www.ncc.org.uk
3. A more detailed breakdown of some aspects of the poll findings are below.
4. Earlier results focussing on consumer trust and confidence in e-commerce were published in August 2000. Visit www.ncc.org.uk for the full report, e-commerce and consumer protection: consumers - real needs in a virtual world.
5. The study was conducted between March and July 2000 by 14 consumer organisations (including the National Consumer Council) who examined, in detail, the privacy policies of 751 web sites, mainly from the USA and Europe. Further information from Rinske van Duifhuizen, Communications Officer, Consumers International (020-7226 6663 ext:236).

Examples of poll findings

Q What are the main advantages and disadvantages of online shopping?

* Internet usage data supplied from The MORI Technology Tracker from April 2000 (at the time overall internet usage stood at 36%)

Technical details

The research was conducted by MORI in three phases: a qualitative stage based on group discussions; a structured questionnaire asked of a cross-section of the population; and additional 'booster' interviews in Scotland and Wales.

The qualitative stage took place during February and March 2000. In total, MORI conducted nine group discussions and three paired depth interviews with a total of 83 participants in various locations round the country.

The main quantitative survey was conducted as part of MORI's Omnibus between 13-17 April 2000. A nationally representative quota sample of 1,950 adults were interviewed face-to-face, in their own homes.

The final 'booster' stage consisted of a total of 1,021 interviews representative of the adult populations of Scotland and Wales, between 22 April - 16 May 2000. This was also conducted face-to-face, in respondents' homes.