Online shopping sees lowest yearly growth for 2009

Online shopping sales grew by just 5% last year, the slowest ever annual growth rate.

Online shopping

According to the latest IMRG Capgemini e-Retail Sales Index UK, online shoppers spent £4.3bn in January 2010, just 5% more than the previous January, the lowest annual increase on record.

Online sales fell by 22% between December 2009 and January 2010, which online retail trade body the IMRG said was greater than the usual seasonal drop.

The research supports findings from new media age’s Online Shopping Survey in January that online shopping growth was levelling off (nma 7 January 2010).

Tina Spooner, director of information at the IMRG, said, “The weaker yearly growth in the UK e-tail market during January follows a strong December when online retailers were clearly well prepared for the festive season. Less retailer discounting due to well-planned stock levels and the increase in VAT appear to have had an impact on the online retail sector during January. In addition, many retailers started their sales over the Christmas holiday period resulting in stronger growth in December.”

Overall pure-play retailer sales dropped by 2% year on year, while multi-channel retailers grew sales by 10%. The clothing, footwear and accessories sector drove growth, rising by 10%, while electrical sales online fell by 1%.

Talin Vartevanian, head of ecommerce at Faith Shoes, said, “ saw really strong sales in January against last year. We were expecting an increase, especially due to the launch of our new site in August and a stronger product offering. Gross sales were up 128%, visits up 35% and orders up 117%.”

This story first appeared on

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