‘Black Friday Bonanza’ As Online Sales Trump In-Store Shopping
Online sales represented 27.6% of total non-food sales in the UK last month, while high street retailers reported a decline in trade
The Black Friday ‘bonanza’ caused a surge in online sales while in-store shopping suffered a drop in activity leading up to Christmas, according to a report by KPMG.
Research into online shopping and in-store spending around the discount period revealed that online sales of non-food products grew 10.9% in November, similar to growth of 11.8% 12 months earlier.
In the three months leading up to November, online orders grew 10.7% year-on-year while total non-food sales grew 1.7% – a sign of how important it is for small businesses to ensure they have an online presence.
Online sales represented 27.6% of total non-food sales in the UK, against 25.3% in November 2015 – the highest penetration rate on record.
In contrast, between September 2016 and November 2016, in-store sales fell by 0.8% on a total basis and 1.1% on a like-for-like basis, while also showed a decline for the for the month of November as a whole – signifying the online appeal Black Friday and Cyber Monday bring.
Paul Martin, UK head of retail of KPMG, said:
“All categories performed well, however toys and baby equipment were at the top of the list for shoppers. Well timed e-Promotions, as well as eager Christmas shoppers, were likely to have been the main contributors to the rise.
“Health and beauty products continued to remain popular. In the midst of the overpowering scent of the discounts galore, the category stood out.
Retailers now face the challenge of processing the inevitable returns following the surge in sales, all too easily overlooked amidst the excitement of Black Friday. The pressure then turns to ensuring deliveries will make it under the Christmas tree in time.”
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