LONDON, October 14 /PRNewswire/ --

- LinkShare Launches Analysis of UK Online Retail With JupiterResearch

UK online retail sales are expected to grow at a compound
annual growth rate of 12% through to 2012, according to the 2007
JupiterResearch Internet Shopping Model. Affiliate Marketing specialist
LinkShare today announces an exclusive report into the UK's online retail
market, in association with analyst house JupiterResearch. The report tracks
the recent shopping habits of British consumers online and reveals the
importance of a valuable British online consumer segment: the Online Luxury
Shopper.

1,000 online consumers were surveyed in August 2008. Online Luxury
Shoppers make up 12% of online consumers. They are defined as online
consumers ,who make a point of buying luxury products and who are happy to
pay more for designer labels. These consumers spend 16% more online than the
average online buyer. They are among the most engaged and influential
shoppers and a valuable target for retailers.

While the Online Luxury Shopper is aware of the credit crunch, almost one
in three say they are not concerned about it. In fact, in response to the
struggling economy, these shoppers are more likely than the average online
consumer to do more shopping online, rather than in physical shops. 31%
expect to do more shopping online than they do offline, in comparison to the
15% of all online consumers.

In particular, in this economic environment, 39% of Online Luxury
Shoppers intend to use the internet more as a research tool in order to find
the best deals, and they are influenced by a range of different sources. 95%
of Online Luxury Shoppers will visit more than one site when choosing
products, in order to see a range of prices and information. Particular
credence is given to shop websites, cited as a research tool by 66%, auction
sites, cited by 64%, and search engines, cited by 59%. 55% of Online Luxury
Shoppers will also look to consumer review sites - but less than half will go
to a store to research the products they want to buy.

As with Online Luxury Shoppers, 39% of all online consumers point to the
internet as a means to research the best deals in the current economy.
However, online consumers who could estimate their planned change in spending
over the next 12 months, expect their online spending to go down by 4.59% in
response to the struggling economy - compared to a decrease of only 1.5%
among Online Luxury Shoppers.

Thus, for retailers, there are many benefits to attracting the Online
Luxury Shopper. Not only do they carry higher spending power, but they can
also influence the purchasing decisions of others. 47% say they are the first
to tell people about a new retail site or product, and 44% say that they are
the first person to be approached for recommendations of products to
purchase. In addition, the Online Luxury Shopper will continue to make
unplanned purchases in response to offers: 45% say this is something they
often do, twice as many as the average online user.

Liane Dietrich, UK Managing Director at LinkShare said of the report:
"Despite the uncertain economic climate our report shows that there are some
shoppers whose spending will change but not diminish. Rather than visiting
their favourite boutiques the Online Luxury Shopper will become increasingly
savvy in looking online for the best deals and will be influencing their
friends to do the same. Even if they aren't worried about the credit crunch,
they are keen to make sure they're not throwing money away unnecessarily and
will spend more time on research into the products they want to buy. For
retailers this is a very promising sign and there are several opportunities
to interact with and affect the shopping habits of the Online Luxury Shopper.
Marketers must learn to reach out to them through the wide variety of sources
that influence them, broadening their online marketing portfolio and creating
a richer shopping experience."

LinkShare UK

The LinkShare Corporation provides ecommerce businesses with a wide range
of online marketing services including Search Marketing (SEM), Lead
Generation and Affiliate Marketing.

LinkShare UK launched in 2006. It is now one of the UK's leading
affiliate marketing networks, with a unique network of quality publishers.

LinkShare was founded in 1996 and is headquartered in New York City, with
offices in San Francisco, Chicago, London and Tokyo. LinkShare is a division
of Rakuten, Inc.