The online retail space continues to trade strong, with IBISWorld predicting e-spending to hit $10 billion this year and online advertising soaring for the first quarter of 2012.
Fresh IBISWorld data predicts online spending will grow 9.1 per cent in Australia this year, growing by around half a per cent higher than last year to reach $10 billion.
Analysts at the research firm expect industry revenue to increase over the five years through 2016/17, as efficiency and security in the space increases as well as product range and vendor numbers.
The report comes as online advertising records a 19 per cent year-on-year increase for the first quarter of 2012 to $713 million.
Figures compiled by PriceWaterhouseCoopers for the Interactive Advertising Bureau revealed the industry is on track to reach $3 billion this calendar year.
Display advertising recorded a growth of 18 per cent, accounting for 21.6 per cent of total online ad revenue for the period and recording its highest increase since 2008.
Classifieds registered 13 per cent growth and made up 22.9 per cent of total revenue. Search and directories advertising continued to dominate market share with a 55.5 per cent stake and growth of 21.4 per cent.
Online video advertising reached $11.6 million.