I often buy yarn online...I know it isn't the same as going into a yarn store, touching, feeling, smelling the yarn (yes I do smell it). I know the color isn't always true on a monitor. However, I have been very lucky with some of my online yarn purchases from this amazing store in Seattle called Little Knits.
What I love about this store is its service - there have been times when I've placed an order and then realized I needed more yarn. I've emailed, added a skein or two and no problem it's done. Today I got a call from Sue at Little Knits following up on an e-mail. What a nice person she is! They even have a Ravelry group which I promptly joined.
I was getting some more Ella Rae Classic which is at a great price. I used it to make my Ingenue (Ravelry Link) and am making one for my god-sister and another one for me. The price can't be beat, the yarn is lovely and when you order from such nice people it is even better. Check out Little Knits...worth your time.