Selling goods online is not something new in the business world. Yet the amount of online purchases continues to increase. Retailers find increasing success in online sales by properly interpreting the reasons behind the e-commerce sales growth.
E-commerce Sales Growth Trend
This year, e-commerce sales are being expected to grow by a 15.8%, which is 9% of total retail sales. At the same time, the sales growth has slowed down in October, compared to the previous month. According to the statistics, a 6.8% of increase was observed in non- store sales in October 2017 compared to that in October 2016. At the same time, the increase was 9.2% from September 2016 in September 2017. In comparison to the increase in September, a 0.3% of deceleration is being observed in October.
Majority of non -store sales happens through online sales. 72.5% of non-store sales were occupied by e-commerce in the second latest quarter of 2017, while it was only 68.8% in the same time span of 2016.From the above statistics, 12.5% increase was observed in e-commerce sales in October 2016.
As Richard Lim, Chief Executive at analyst retail Economics observe, this deceleration in retail sales growth is an indication of something is not well in retail sector. According to him, the inflation is approaching its peak and pinch of personal finances is at most intense.
According to Kith Richardson, MD Retailer Sector at Lloyd Bank Commercial Banking, retailers are hopeful on upcoming holiday season. They are all set with products and promotions to make the shoppers to spend again and keep them in the market till the end of the season.
E-marketers expect sales of 11.5% in this holiday season with an increase of 3.1% over last year. Also, observations predict a growth of 38% in mobile commerce, which constitutes 3.1% of total retail sales.