Online sales of both pet supplies and cosmetics/fragrances are expected to experience growth of more than 30 percent, Shop.org said.

In comparison, online sales last year rose 25 percent to $176.4 billion.

Other large non-travel categories for 2006 include computer hardware and software, autos and auto parts, and apparel, accessories and footwear.

To create a true multichannel environment that boosts online as well as in-store sales, retailers are employing a variety of strategies, according to the study. More than two-thirds (79 percent) offer consistent pricing across channels, and almost half (46 percent) allow their customers to buy and redeem gift cards online and in stores. A notable number (33 percent) allow customers to accrue loyalty program points across channels, and some (26 percent) offer in-store product information online.

“By encouraging different channels to work together, instead of in isolation, everybody wins,” said Scott Silverman, executive director of Shop.org. “Retailers have been focusing on integrating their Web sites and stores to better serve their customers, which is paying off for companies in the form of higher sales.”

The study shows that retailers believe the online channel plays an important role in overall sales. In fact, retailers said the Web influences 22 percent of offline sales. In addition, they said that more than one-third (38 percent) of online customers are new to a company’s entire business.

“Retailers spent the first decade of e-commerce scrambling to react to and learn about the Internet,” said Carrie Johnson, research director at Forrester Research Inc., which conducted the study. “Companies are now able to take a step back and are busy planning strategies and prioritizing technology investment for the long term. As a result of these efforts, the next five to 10 years of online retail will be even more competitive and more innovative than in the past.” [August 2006 PET AGE]