Online Shopping Growth Stalls Amidst Challenging Times
- Online retail sales grew by a marginal 0.6% year-on-year in September
- Clothing saw its first negative growth in over two years at -1.2%
- Menswear sales suffered significantly (-22.5%) while womenswear, footwear and accessories declined with YoY growth rates of -13.3%, -9.8% and -9.0% respectively
- Nine out of 15 sectors reported negative performance compared to last year
- January-September online sales up only +4.9% versus a start-of-year forecast of +9%
- Low shopper confidence driving the need to discount and few categories performing well
Online retail sales grew by a marginal 0.6% year-on-year in September, according to the latest IMRG Capgemini Online Retail Index. The clothing sector saw its first negative growth in over two years at -1.2%, while menswear sales suffered significantly (-22.5%) and womenswear, footwear, and accessories declined with YoY growth rates of -13.3%, -9.8%, and -9.0% respectively. Nine out of 15 sectors reported negative performance compared to last year. Bhavesh Unadkat, principal consultant in retail customer engagement at Capgemini, said that the low demand is driving poor performance. Andy Mulcahy, strategy and insight director at IMRG, added that September was another poor month for online sales growth, with January-September figures up only +4.9% versus a start-of-year forecast of +9%. The only possible positive factor could be Brexit.
Factuality Level: 8
Factuality Justification: The article provides accurate information from a reputable source (IMRG Capgemini Online Retail Index), presents data and statistics related to online sales growth, and includes expert opinions on the reasons behind the decline in sales. The article does not contain digressions or irrelevant details, nor does it present personal perspectives as facts.
Noise Level: 3
Noise Justification: The article provides relevant information about online sales growth and specific sectors’ performance but lacks in-depth analysis or actionable insights. It also mentions Brexit as a potential factor without providing evidence or context.
Financial Relevance: Yes
Financial Markets Impacted: Retail sector
Financial Rating Justification: The article discusses the decline in online sales and its impact on various sectors within the retail industry, which can affect companies’ financial performance and stock prices.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no mention of any extreme event in the text.
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