According to ParcelHero, the Omicron variant of the coronavirus is projected to have a significant impact on online festive sales in the UK. The home delivery business anticipates that UK consumers will spend over £35 billion online this Christmas as a result of concerns surrounding the variant. This suggests that individuals may once again choose to have a digital holiday season in order to avoid physically going to stores.
Before the emergence of the Omicron variant, ParcelHero had predicted a £3 billion decrease in online sales. However, due to shoppers becoming more cautious about visiting physical stores and the desire to minimize contact with others by wearing masks, more people are expected to turn to online shopping and utilize courier and delivery networks to send gifts.
David Jinks, the Head of Consumer Research at ParcelHero, stated that while there is no expectation for a pre-Christmas lockdown this year, shoppers are being more careful and are more inclined to rely on online shopping options. It is projected that total holiday sales will amount to £84.7 billion, with online sales accounting for around 42% of the market. Despite a slight decline, online sales are expected to be on par with the levels seen during Christmas 2020.
Jinks also noted that the Omicron variant could present opportunities for online retailers as well as brick-and-mortar retailers that have a strong online presence. However, he emphasized the challenges posed by ongoing driver shortages, port delays, and supply chain issues. The surge in online orders may place additional strain on these already stretched systems.
In conclusion, concerns surrounding the Omicron variant are likely to result in a surge in online festive sales in the UK. Shoppers are expected to opt for the convenience and safety of online shopping, leading to an estimated £35 billion or more being spent online this Christmas. As the holiday season approaches, retailers need to be prepared for the potential increase in online orders and address any logistical challenges in order to meet consumer demands.
Useful Links:
– BBC: Omicron variant and its impact on holiday shopping
– Reuters: Online retailers in the UK anticipate surge in sales due to Omicron variant
