Citing Access Economics research, claimed a lack of understanding of how e-commerce works along with its potential benefits and negative perceptions about the cost involved in setting up and maintaining Web-based facilities were causes of the apparent slowness of Australian retailers investing in online facilities.

Further, limited or unreliable broadband access and speed, a lack of skills available to track sales online, the inability to compete with overseas competitors online, and the perception by some of the larger retailers that they will lose the impulse buying from customers visiting bricks and mortar establishments were also major inhibitors.

An attitude among larger retailers that the purpose of websites was to [promote retail sales rather than facilitate online sales was also an issue.

“While department stores such as Myer and David Jones and large retailers such as Harvey Norman have had an online presence for some time, their websites appeared designed more to provide information on the range and specifications of goods they sell rather than to aggressively pursue online sales,” the report reads.

“Larger retailers may have been reluctant to invest in fledgling online infrastructure given their already heavy investment in large retail shopping facilities.