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Online & Digital

Online retail sales bounce back in June

Online retail sales rose by 8.5% year-on-year, the strongest growth this year, according to the latest IMRG Capgemini eRetail Sales Index.

Sales bounced back after a slump in May, which saw online sales suffer their worst growth on record at +1.9%.

Clothing recorded the highest growth so far this year with a rise of +15.7%. This was boosted by good results in both menswear, which saw its strongest performance of 2019 at +31.2%, and womenswear, which reversed last month’s negative growth to achieve an increase of+3.3% versus 2018.

There was also positive performances for health and beauty +20.4% and home and garden +9.8, elsewhere the results continued the negative trend for electricals at -23.0%, and gifts -23.4%.

Andy Mulcahy, strategy and insight director, IMRG, said: “The trading environment for online retail in the first half of the year has been tough; for the previous three months (March-May), growth was just +2.2%. June then can be interpreted as a bounce-back, particularly given it was building on strong growth of +16.1% in June 2018.

“However, the discounting has been heavy so the margins achieved may not be high – online clothing sales were up +15.7%, but the average basket value for clothing was down -25%. That doesn’t suggest shopper confidence is very high.”

The sectors that were affected considerably in the second quarter were garden at -45%, beer, wine and spirits -6%, and accessories -11%, partly driven by the weather and events driving spending last year.

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