Abstract: This study aims to establish a preliminary assessment, evaluation and understanding of the characteristics of internet shopping in Malaysia. Chi-squire test was used to determine relationship between current users of online shopping and demographic variables. Samples t-test was used to compare mean differences between users and non-users of internet shopping to use online retailers websites. In addition, correlation coefficient matrix was used to determine the degree of correlation between future online shopping and areas concern of current users of internet shopping. The study revealed that internet shopping in Malaysia is significantly associated with Chinese ethnic group, university degree holders and those who use credit cards and cheque books. The results also indicated significantly mean difference between users and non-users of internet shopping in using retailers` websites to gather product information and compare price of goods and services before taking purchasing decision. This implies that this group of online consumers represents large potential users of internet shopping that can be exploited by online retailers. Therefore, it is essential those necessary efforts are taken to convince them into becoming users of internet shopping in the near future. Finally, online consumers in Malaysia performed lack of confidence and trust for using the internet as they are mainly concerned on issues related to privacy and lack of credibility when dealing with online retailers.