A rapid increase in the number of Internet users in the UK is being matched by a growing readiness to buy on-line. Indeed, on-line shopping is quickly becoming one of the primary motivators for people to use the Internet.

The generation coming on-line now are much happier to go to straight to a "portal site" (the catalogue of services promoted by an Internet service provider) and stay there. The motivation is much less technical or adventurous, being driven by simple motives such as saving money on purchases. They come on to do their supermarket shopping or find the cheapest way to buy a TV set. The time being spent on line has not changed, but users' propensity to buy on-line is going up very rapidly.

There is a shift away from using it for information or fun. Now they want to achieve something tangible - and that means purchasing. This year is going to see a real leap in e-commerce expenditure in the UK.

Internet service providers recognise this sea-change in behaviour. Rather than simply offering free connection, they are moving rapidly to highlight the savings possible through on-line shopping.

E-commerce sales in the UK are forecast to grow from £160m in 1998 to £7.5bn by the end of 2000. Any business must recognise that this represents a massive opportunity. They should also see the necessity for speed.

In the short to medium term people will make on-line transactions using media ranging from televisions, personal computers, new generation mobile phones, kiosks in the street and even Internet-capable games consoles. Transactional services will become more proactive, reminding users of forthcoming birthdays and offering gift suggestions.

Over the coming years interactive digital television will become increasingly important as a medium for e-commerce but the Internet is where all the activity is today and that is where middle-market companies should be focusing their attention. It allows businesses to target very specific groups of customers or even individual people at a cost far lower than conventional retail channels.