Fashion Categories Outperform Amidst Overall Decline

  • Lowest rate of online retail growth ever recorded in January
  • Fashion category experienced highest growth with clothing, womenswear, and menswear seeing positive performances
  • Skincare, makeup, and electricals reported the poorest growth
  • Average basket value increased after dropping since August 2021

January marked the lowest rate of online retail growth ever recorded, according to the IMRG Capgemini Online Retail Index. The index tracks over 200 retailers and ended 2021 with a total growth rate of +2.7%. This decline is attributed to the comparison with January 2021’s significant online sales boom during lockdown. Fashion categories, such as clothing, womenswear, and menswear, experienced positive growth, while skincare, makeup, and electricals faced the poorest growth. The average basket value increased after a drop in December. Experts predict a more stable trading period in 2022 but acknowledge economic and logistical challenges.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the decline in online retail growth in January compared to previous years, citing a specific index and offering explanations for the drop. It also includes data on different categories of products and quotes from experts in the field. However, it could have provided more context or background information on the pandemic’s impact on consumer behavior and the economy.
Noise Level: 3
Noise Justification: The article provides relevant information about online retail growth rates and offers insights from experts in the field, but it could benefit from more analysis of long-term trends or possibilities and actionable insights for readers.
Financial Relevance: Yes
Financial Markets Impacted: Online retailers and physical stores
Financial Rating Justification: The article discusses the decline in online retail growth rates, which can impact the financial performance of these companies and potentially affect their stock prices. It also mentions the comparison to last year’s lockdown situation, which had a significant effect on sales.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.retailsector.co.uk