With the upcoming Christmas season fast approaching, there is a significant shift in consumer behavior predicted by delivery specialist ParcelHero. The report indicates that online spending is on track to surpass in-store spending, with Britons expected to splurge a whopping £39.41 billion online. This marks a major milestone in the way consumers shop during the festive season.
The trend of increasing online sales during Christmas has been on the rise for years, with shoppers increasingly valuing the convenience and ease of online shopping. The ongoing pandemic has only accelerated this shift, with many consumers opting to shop online to avoid potential exposure to the virus and navigate the restrictions on movement.
David Jinks, Head of Consumer Research at ParcelHero, highlights the shift in spending patterns from last Christmas, where Britons spent £25.43 billion online and £53.15 billion in stores. This year, the trend is expected to reverse, with online spending taking the lead. The Office for National Statistics also reported a significant 53% year-on-year increase in online sales in September, with projections indicating a further rise to 55% during the holiday season.
Considering the uncertainties surrounding Covid-19 and Brexit, it is anticipated that Britons will maintain a similar spending pattern to last year. However, the distribution between online and in-store spending is expected to shift dramatically. ParcelHero forecasts that over half of the average Christmas budget for presents and food will be allocated to online purchases this year.
In preparation for the festive season, online retailers have already witnessed a surge in sales. The demand for popular gaming consoles has driven an 88% increase in online department store sales in September, as shoppers gear up for Christmas deliveries. This surge reflects the growing trend towards online shopping for gifts and essential items alike.
The shift towards online shopping this Christmas underscores the changing landscape of consumer behavior, driven by convenience and safety concerns. As online sales continue to soar, traditional brick-and-mortar stores may need to embrace innovative strategies to stay competitive in the evolving retail market.
For more information on the changing trends in holiday shopping, check out these helpful links: Retail Dive and BBC News.
