Study: E-Commerce Sales At Risk Over Download Times
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"The Need for Speed", a report released Wednesday by Zona Research, said unacceptable download times will put e-commerce sales at risk if online vendors do not heed the "eight second rule."
The report examines how Web page loading times directly impact the ability to conduct business over the Internet. According to the firm, the key benchmark companies must meet is an eight-second Web page download time. Zona reported that more than a third of Web users may simply give up trying to buy an item over the Internet when frustrated with an online shopping experience.
Zona Research estimates users' frustrations could result in as much as $4.35 billion in United States ecommerce sales being at risk each year due solely to unacceptable download times.
Significant findings from "The Need for Speed" include:
- Currently, 44.1 million people in the U.S. are online shoppers. An additional 37.5 indicated they will become new online users within the next 12 months.
- Shoppers with 14.4-kilobit modems who are unable to load Web pages within eight seconds represent at risk losses to vendors amounting to more than $73 million a month in ecommerce sales.
- An estimated $58 million a month in ecommerce sales will be due to Web page loading failures.
- $3 million is at risk monthly in the securities trading industry due to unacceptable download times.
- Over $2.8 million is at risk monthly in the travel and tourism industry because of unacceptable download times.
Zona's "The Need for Speed" report is available for $895. A summary and table of contents are available here.