Out-Law News 1 min. read
20 Aug 2013, 9:23 am
In addition, online sales this July were only 9% higher than last year; the weakest year-on-year growth since January 2010, according to the IMRG Capgemini survey. IMRG and Capgemini said that this was due to prolonged hot weather in July.
The online figures were published shortly after the Office for National Statistics (ONS) reported a 3% increase in retail sales between July 2012 and July 2013, predominantly driven by the food and non-store retailing sectors. Feedback from supermarkets to the Government's statisticians suggested that the sunny weather boosted sales of products including food, alcohol, clothing and outdoor items, the ONS said.
"There is no doubt that the prolonged heat-wave had a detrimental effect for online retailers," said Tina Spooner, IMRG's chief information officer. "Following the coldest spring in over 50 years, it is hardly surprising that Britons headed outside when the much-needed sunshine appeared."
"It is interesting to note however that it is only desktop sales that appear to have been impacted; the mobile sales growth of 129% is lower than in recent months but not significantly so, suggesting that consumers still shopped via their devices while bathing in the sun," she said.
The IMRG Capgemini Index has been published monthly since April 2000, and tracks completed online sales including payment. This includes sales completed on 'interactive devices' in physical stores. Over one hundred retailers contribute data to the index, including both 'online-only' retailers and 'hybrid' retailers, which also have a physical presence.
According to the figures, online sales performed "well above expectations" during the first half of the year before falling in July. Average growth in sales was 16% against a forecast 12% for the year. Retailers reported a fall in sales as the weather became warmer, while high street sales appeared to perform more positively, IMRG and Capgemini said.
A recent poll conducted by IMRG, which is an industry association for online retailers in the UK, found that two thirds of retailers had experienced a negative impact on online sales during July. In addition, some merchants suggested that online promotions were not strong enough to lure shoppers away from the high street, it said.
IMRG and Capgemini also reported comparatively strong performances by the home and garden; beers, wines and spirits and clothing sectors during July. Clothing sales rose in the first week of the month as sales and seasonal promotions began, they said. Home and garden sales increased by 37% on sales over the previous year; while sales in the beers, wines and spirits category were 23% higher than in July 2012, they said.