King of the castle - the web in 2007

The world of web is moving at an astonishing rate. In China, websites such as www.teambuy.com.cn provide a forum for consumers to meet online and organise group excursions to virtual retail shops where they can actually haggle for cheaper prices. Genius! Next year, according the the Economist Intelligence Unit, much of the growth in ecommerce sales will come from populous countries such as India, Brazil, Russia, Indonesia and China where the broadband market is expected to reach 79 million subscribers in 2007.

According to Research Company, Forrester, British web spenders will outspend even their american counterparts with an average yearly spend of €1500 (up by 50% from 2006). Travel, clothes, groceries and consumer electronics will lead the way.

So with all these online shops popping up, how will e-tailers retain their market share? The answer lies in loyalty schemes, competitive prices and good search engine marketing. It is predicted that by 2010 Eurpoean marketers will spend almost €3.8bn on search engine marketing up from €856 in 2004. According to ZenithOptimedia, spending on internet ads will overtake billboards and other outdoor advertising in 2007.

What else? Well it looks as though some of the technology giants such as Microsoft, Dell and Intel might be getting a bit worried as free open-source software appears on the net - products such as Microsoft's Vista will emerge in an effort to keep hold of the industry crown. And it's not only the tech-heads who are worried - tv is beginning to lose its audience to the web through video-hosting services such as YouTube which streams more than 100 million videos a day! And they offer no advertising at all, so you can bet your bottom dollar that advertisers are going to be after a piece of that pie.

One thing is for sure, the web is now fully ingrained into our lives; as online communities continue to thrive and grow, and web access via mobile phones becomes the norm, it is plainly obvious that no-one in the business world can afford to turn a blind eye to the monster of the internet.