The latest figures from the IMRG Capgemini e-Retail Sales Index have revealed online sales are back on track, recording an annual growth of 14% in July.
The Index grew 3% month-on-month, a contrast to the 5% decrease experienced between May and June. An estimated £8.1billion was spent online; a significant increase on the £7.1 billion spent during the same period last year.
‘Big-ticket items’ returned to growth in the electrical sector. Following a year-on-year increase of just 7% in June, this shot up to 19% in July; shaking off its post-World Cup slump.
IMRG chief information officer Tina Spooner commented: “With the July Index performance back to solid double-digit growth, it appears the disappointing results in June were merely a blip. It is evident that consumers are now spending more money online, and the increase in high-ticket purchases including electrical items, furniture and holidays, indicates that consumer confidence is certainly increasing. The UK online retail industry is, once again, performing close to our growth forecast and we are still on track to see in excess of £100 billion spent online for the first time this year.”
Capgemini head of retailing consulting UK Adgild Hop added: “The return to growth this month will be much welcomed by the UK’s retailers. Earlier results this year had suggested that British shoppers weren’t averse to spending but just reluctant to splash out on the more expensive luxuries. With the recent positive noises about the UK economy, this month we have seen that consumer confidence appears to be improving, with a strong increase in big-ticket transactions in Travel and Electricals in particular. Retailers will no doubt hope to see this trend continuing for the remainder of the year and into Christmas.”