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By
Reuters
Published
Jun 18, 2009
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Online spending growth slowed in May

By
Reuters
Published
Jun 18, 2009

LONDON (Reuters) - Online retailers are starting to feel the impact of the recession, even if their growth rates might still be the envy of the country's shopping streets, a survey showed on Thursday 18 June.



The IMRG Capgemini e-Retail Sales Index showed online retail sales rose 8.2 percent in May on the same month last year to around 3.7 billion pounds, the slowest growth rate in the index's nine-year history.

This compares with growth of 30.9 percent in 2008.

The index was also down 3.5 percent on April, bucking the usual seasonal trend due in part to better than normal weather during the month.

"Although online sales remain healthier than on the high street UK shoppers are clearly changing their behaviour as a result of the recession -- even those heading online to economise are now beginning to trim spending habits," said Mike Petevinos, head of consulting for retail for Capgemini UK.

Sales of accessories online continued to power ahead, up 69.9 percent on the year, followed by electricals up 27.9 percent and health and beauty products up 26.3 percent.

Sales of clothing, footwear and accessories as a whole were up 8.2 percent, while sales of beer, wines and spirits were down 6.5 percent and sales of lingerie down 10.2 percent.

(Reporting by Mark Potter; Editing by Greg Mahlich)

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