RealTime IT News

European Companies to Accelerate Web Spending

European Web site operators have committed to spending more than twice as much per Web site this year than their North American counterparts, a new survey shows.

ActivMedia Research, said its sixth annual study of electronic commerce and Web site development costs discovered that Europe will average a $77,000 investment per site while North America reported an average investment of $33,500.

The numbers are from the research company's "Real Numbers Behind 'Net Profits 1999" study. The development bodes well for rapid expansion of European e-commerce, the company said.

1999 Budget for Total Web Site Investment (in US Dollars)

Average Budget
N. America$33,580

"While North America, and particularly the U.S., continues to dominate e-commerce around the world, online populations are burgeoning," said Harry Wolhandler, ActivMedia's vice president of market research.

"Europe has nearly half as many online users as North America, and the Asia/Pacific Rim countries have nearly a third," he added.

"Latin America, late to start, has a growing Internet presence, especially in Brazil. The analyst community has been watching non-U.S. countries closely to see where the next success story will arise. According to consumer-oriented Web site managers in our study, European e-commerce will surge in 2000, when global consumer e-payment and anti-fraud systems strengthen, and current non-U.S. Web site investments in e-commerce enabling take hold."

The "Real Numbers Behind 'Net Profits 1999" annual study is available for $2,995.