e-commerce slowly picking up

A survey by the Malta Communications Authority has shown steady growth in on-line commerce in Malta.

Whereas in September 2006, 35 percent of Internet users said they had bought on-line, that percentage rose to 58 percent, according to a survey carried out this April.

MCA official Denise Borda told a press conference this morning that 56 percent of those who used the internet for purchases said they did so because prices were lower. Another 36 percent said they used the internet for its convenience while 27 percent said they did so in order to buy items not available in Malta.

Most paid by credit card, although pay pal was growing fast in popularity.

Foreign sites were by far more popular than local ones, with the biggest use of local sites being to top-up phone cards.

Just over a quarter of users said they had experienced a problem, the problems related mainly to delivery, the payment process or the internet connection.

Indeed, the chief concerns of those using the Internet for purchases were security, followed by non-delivery.

Eighteen percent of those interviewed said they did not buy on the internet because of security reasons. Others said they never bothered, or liked to see the products first.

IT Minister Austin Gatt said there was need for more local retailers to offer on-line services. He recalled that in 2006 he had launched a scheme whereby retailers on-line would be given a tax credit of €12,000. The scheme wasstill open. There have so far been 54 applicants.

Dr Gatt said many establishments bought their products on-line but seemed reluctant to sell on-line. He hoped the situation would take a major step forward when the e-mall was set up by the government.