Record £5.4billion spent online in November 2007

Archived article dated Thursday December 20th 2007

Latest e-retail sales figures released from 'IMRG Capgemini e-Retail Sales Index' shows UK shoppers are leaving Christmas shopping until the last moment

Online Christmas shopping set another record last month, with online spending reaching £5.4 billion in November - the equivalent of approximately £89 spent online for every person in the UK. This was an increase of 22.5% compared to October 2007 and 65% higher than the £3.2 billion recorded during November 2006.

Statistics released from the IMRG Capgemini e-Retail Sales Index highlight that the internet is enabling consumers to shop right up to the last moment with online Christmas shopping occurring much later this year than in previous years. Week on week online sales for the final quarter of each year 2003 - 2007 suggests that the annual increase in the amount of money spent online occurred more sharply in November compared to previous years, compensating for the lower than usual increase in online shopping in October. In 2007 the IMRG Capgemini e-Retail Sales Index grew by 22.5% between October and November and had only 5.7% growth between September and October, whereas in 2006 the index grew by 19.5% between October and November and 13.7% between September and October. The first three weeks of November showed a sharp increase of 10% growth week on week before stabilising with just 1.5% growth in the final week of the month.

The purchase of gifts was the main driving factor behind the growth, with sales soaring 70% in November compared to October. Also driving the growth, and a sign of festive excess, was the 62% growth in sales of beers, wines and spirits. Online sales of electrical goods grew 46% (highest ever growth in this sector), online sales within the accessories sector grew 56% from October and lingerie 46%.

Anthoula Madden, Vice President at Capgemini UK's Consumer Products and Retail Team says “With many e-retailers able to deliver on Christmas orders right up until 17th December, it is no surprise that consumers are choosing to shop much later in the year. Retailers need to be able to monitor their sales activity and be prepared for this late surge in demand, ensuring that there is enough stock, storage and delivery capacity to meet consumer needs.”

Jo Evans, MD of IMRG, said: “November's figures show another record month for online shopping and shows that consumers are really making the most of the convenience and cost savings available through online shopping. We expect the online spend figure to be even higher next month as people do their last minute shopping”.

Tagged as: online

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