The growth rate of online retailing slumped to its lowest levels on record during May, according to figures from IMRG Capgemini e-Retail Sales Index.
Sales growth of just 8.2 per cent was recorded, down from the 30.9 per cent figure of May 2008. And even though the rate of growth has slowed,online sales were still worth a staggering £3.7bn in May.
“Although online sales remain healthier than 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,” says Capgemini head of consulting for retail Mike Petevinos. “While the underlying trend is still one of growth for online retail, the market conditions are placing all retailers under intense pressure to ensure their offerings remain competitive.”