UK Consumer Online Spending Growth Slows

23 October 2008

LONDON: UK consumers' online spend rose by 14.8% in the UK last month, versus a 73.2% increase in the same period last year. The fall reflects the impact of the economic downturn on internet shopping market, reports a recent survey by trade body, the Interactive Media in Retail Group.

September was the third consecutive month that the growth rate for consumer online spending fell below 20%, according to figures from the IMRG Capgeminie-Retail Sales Index

A few categories, did however, prosper, with web expenditure rising on clothing (up 24% on the August total), electrical goods, gifts and alcohol.

Mike Petevinos, head of consulting for retail, Capgemini UK, says: "The latest figures show that e-retail continues to see growth although at a markedly slower rate than we've been used to.

"While retailers continue to look to e-retail for growth, today's challenging economic climate is clearly having an effect."

Data sourced from BrandRepublic (UK); additional content by WARC staff