{"id":160946,"date":"2019-02-22T14:00:08","date_gmt":"2019-02-22T14:00:08","guid":{"rendered":"https:\/\/www.theindustry.fashion\/online-retail-growth-suppressed-again-in-january\/"},"modified":"2021-08-12T13:55:08","modified_gmt":"2021-08-12T13:55:08","slug":"online-retail-growth-suppressed-again-in-january","status":"publish","type":"post","link":"https:\/\/www.theindustry.fashion\/online-retail-growth-suppressed-again-in-january\/","title":{"rendered":"Online retail growth suppressed again in January"},"content":{"rendered":"<p>Online retail recorded its <strong>worst January sales growth (at +7% year-on-year) in three years<\/strong> last month, as the industry\u2019s poor recent sales performance continued into the New Year.<\/p>\n<p><!--more--><\/p>\n<p>According to the IMRG Capgemini eRetail Sales Index the&nbsp;month provided little relief to retailers on the back of December\u2019s all-time low sales growth, as it recorded j<strong>ust over half the growth figure achieved during January last year (+13.9%).&nbsp;<\/strong><\/p>\n<p>IMRG strategy and insight director Andy Mulcahy said <strong>2019 \"could well prove to be a very challenging year\"<\/strong>. Discounting has been \"rife\" in retail since last July, he said, and it was now time for retailers to rethink their strategies.<\/p>\n<p>\"[...] the <strong>challenge for retailers now is how to ease off the reliance on discounting for driving sales<\/strong>. As we\u2019ve moved into February, many sites have either switched off discounting or lessened the prominence of such offers.<\/p>\n<p>\"It\u2019s now a matter of holding nerve, but <strong>the positive thing for clothing retailers is the weather<\/strong> \u2013 it has been very mild and sunny for this time of year, so that may help to stimulate activity on spring ranges that isn\u2019t linked to discounting; you should never underestimate the potential impact of the British weather on retail.\u201d<\/p>\n<p>Bhavesh Unadkat, principal consultant in retail customer engagement, Capgemini added: \u201cJanuary growth was half that of last year and <strong>below the five-year average for the month<\/strong>, failing to recuperate sales from the poor performance in December 2018.<\/p>\n<p>\u201cThe cautious start to the year is <strong>unsurprising given that pressures on the retail sector remain high<\/strong> as a result of further store closure announcements, continued low consumer confidence and economic uncertainty as we hold our breath, and our spending, ahead of further news on how the UK will exit the EU.<\/p>\n<p>\u201cOne area where we are seeing a big impact is electricals with continued YoY declines, often correlated to the confidence index, coupled with <strong>decreasing basket values there is an indication that customers continue to hold back<\/strong> on spending, especially in the more luxurious and higher ticket categories.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p> [&hellip;]<\/p>\n","protected":false},"author":11,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[10585,6,10494],"tags":[11972,11719,11718,21,11305],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.7 - 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