Published on September 19th, 2017 | by The GC Team0
Electricals suffer fifth consecutive month of negative online growth
Figures released today by IMRG Capgemini show that online retail sales in the UK rose 16.4% year on year in August, making it the best month for online retail growth so far in 2017.
The Home sector had a particularly strong month, with 20.5% year-on-year growth and an average basket value of £130, but in Electricals it was a very different story, the sector suffered its fifth consecutive month of negative growth – the longest sustained period of negative growth since IMRG started tracking it in 2003.
“With the first half of the year marred by consumer uncertainty around Brexit and the general election, retailers must be hugely encouraged by the August results,” said Bhavesh Unadkat, principal consultant in retail customer engagement design, at Capgemini.
Outside of the sector-specific growth, multichannel retailers saw a lift of 17%, following three months of single-digit growth.
Justin Opie, managing director at IMRG, commented: “Online sales growth for multichannel retailers has been on a general downward trend in recent months and, while it’s too early to say whether this spike indicates the start of a reversal to this trend, there are other data-points that may help us understand what is happening.
“During Q2 of this year, click and collect penetration exceeded 30% of online orders for multichannel retailers. The IMRG Blujay Home Delivery review 2017 further indicated that the ability to combine click and collect with other shopping activity was the second most popular reason for choosing it. It’s possible that this points toward a shift in how people are shopping in a more focused way across online and offline, perhaps spending less time actually browsing high street shops – a drop in high street footfall was reported in August, while like-for-like high street retail was up – but looking to take advantage of retailers’ store portfolios where convenient for them.”