The UK e-commerce technology market will be worth more than £600m by the end of 2010 as online merchants continue to invest in digital channels, and business-to-business sellers see the benefits of going direct to the consumer. The research from digital marketing and e-commerce community, Econsultancy, found that the sector will grow by 12% this year, as companies seek to meet growing demand for online shopping and increased expectations around user experience.

This latest market valuation reflects the combined revenues of e-commerce platform vendors, alongside associated e-business technologies such as on-site search, analytics and optimisation.

Econsultancy’s previous valuation of the e-commerce technology market was during 2009, when the sector’s value was estimated at £540 million.

PureNet's Chief Executive, Dr Paul Gibson, said: “Many businesses are investing significantly in e-commerce because they’re looking to prevent competitors from capturing market share.

“Increasingly we are seeing a number of business-to-business sellers, such as manufacturers and suppliers targeting the consumer market, as they look to grow their businesses by acquiring new customers in the digital arena.

“Integration of e-commerce platforms and the enabling of shopping through mobile applications are examples of new developments within the sector in the last year.  Innovation and experimentation have been particularly apparent, as merchants aim to maximise their revenues and increase their appeal.”