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Commerce Dept.: Online Sales Grew 24.6 Percent in 2005

Online retail sales grew 24.6 percent in 2005, reaching $86.3 billion from $69.3 billion in 2004, according to the U.S. Department of Commerce Census Bureau report, which is considered the benchmark for industry researchers, reports Internet Retailer. In 4Q05 online retail sales increased 23.4 percent over 4Q04, reaching $26.5 billion from $21.5 billion; Q4 sales grew 27.5 percent over the previous quarter's $20.8 billion.

All 2005 retail sales (online and offline) were up 7.2 percent from 2004; 4Q05 growth in all retail sales was up 6 percent compared with 4Q04, and up 0.3 percent from 3Q05.

Online sales accounted for 2.3 percent of all retail sales in 2005. The Commerce Dept. figures exclude auto parts and eBay and other auction sales. Adjusting for those exclusions, Internet Retailer figures that total online sales in 2005 would be $107 billion, or 4.3 percent of all retail sales.

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