Online conversion rates down 55 percent

Research from IMRG and Capgemini found that U.K. consumers are less likely to buy something when visiting an e-tail website compared to five years ago. The study showed the average website conversion rate dropped from 8.4 percent in 2006 to 3.8 percent in 2011, a 55 percent decrease. Researchers believe the drop is the result of consumers becoming more savvy about buying online and more conservative with their overall spending.

The results of the study suggest the increased number of retail e-commerce sites available to consumers offers a variety of stores to peruse in a search for the best deal on an item. Tina Spooner, CIO at IMRG, said consumer behaviour has changed as shoppers can browse websites anywhere, anytime on mobile devices.

"This will inevitably result in a considerable increase in visits to online retail sites, and therefore we may see conversion rates continue to decline," Spooner said.

According to the study, online retail sales almost doubled between 2006 and 2010, increasing from £30.2 billion to £58.8 billion. In one example of growth, online clothing retailer Blue Banana recently reported the past summer was the company's busiest ever.

The retailer attributes the season's success to the multitude of music festivals that took place. The online retailer worked to cater to event attendees by adding a section to its website dedicated to festival accessories such as tents, sleeping bags and wellies.