Small businesses in the UK need to quickly wake up to the sales opportunities offered by the internet, a new report suggests.

PricewaterhouseCoopers (PwC) has published research which suggests that virtually everyone under the age of 55 will have used the internet to purchase something by 2011.

Furthermore, by this date, around 70 per cent of UK consumers will regularly be using online shops to buy goods and services.

By 2011, PwC estimates that the value of the online market in the UK could reach £35 billion - roughly three times its current level.

"Our research shows that there is no longer such thing as a typical online consumer: five years ago the net shopper was relatively wealthy, young and male but today's online consumers are far more reflective of the general shopping population," added Mark Parry, a partner at PwC.

"The reality of online retail is finally catching up with the early hype, with online sales for 2007 predicted to grow by almost 30 per cent on last year's high.

"All indications point to double digit growth in the years ahead. The UK retail sector is an industry in transformation."

A recent study from Mediasurface showed that 61 per cent of SMEs think that their website fails to truly reflect their brand.