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BRC sees 'record' online purchases over Christmas Record online sales over Christmas, says BRC
(about 3 hours later)
A "record" amount of online shopping was done in December 2013, says the British Retail Consortium (BRC.) A record amount of online shopping was done in December 2013, says the British Retail Consortium (BRC).
There was a 19.2% growth in internet purchases from December 2012, said the BRC - and accountants KPMG - who conducted the research. Close to one in five non-food items was bought online last month, according to the BRC survey.
That is the fastest increase for three years, with one in five non-food products bought online. There was also a 19.2% growth in internet purchases from a year earlier, the fastest increase in four years.
Helen Dickinson, BRC director general said that retailers had invested in their websites and delivery times. However, UK retail sales in total rose by just 0.4% on a like-for-like basis. The BRC said the figures represented a "respectable overall result".
Overall UK retail sales increased by just 0.4% on a like-for-like basis. Clicks and bricks
Online trading in general represented 18.6% of total non-food sales for the final month of 2013, an increase from 16.5% the previous year on the year before. Online trading in general represented 18.6% of total non-food sales for the final month of 2013, an increase from 16.5% a year earlier.
Ms Dickinson added that a surge in the popularity and use of smartphones and tablets had also contributed to the boost in online retailing. The BRC's director general, Helen Dickinson, said retailers had invested in their websites and improved delivery times, and added that the surge in the popularity and use of smartphones and tablets had also contributed to the rise in online retailing.
She said that the figures represented a "respectable overall result" and was in line with the group's prediction that Christmas trading in 2013 "would reflect that while confidence levels were higher than the previous year, this wasn't always matched by more money in pockets". She also highlighted multichannel offerings by some retailers as one of the key factors over Christmas.
For supermarkets, however, there was a less positive picture, with a 0.6% decline in food sales. "This Christmas we've seen innovative retailers using click and collect and other approaches to make a virtue of both their website and their physical shops. And that's something we see growing in importance."
In the latest set of festive trading figures from some of the UK's biggest supermarkets on Thursday, sales suffered as competition increased. David McCorquodale, head of retail at KPMG, who conducted the survey for the BRC, said internet sales had surged in the run-up to Christmas.
"Retail sales growth is being driven by the click of a mouse, rather than the ring of the tills," he said.
'Fragile recovery'
Ms Dickinson said the overall sales figures were in line with the BRC's prediction that Christmas trading in 2013 "would reflect that while confidence levels were higher than the previous year, this wasn't always matched by more money in pockets".
She added it drew to a close "what has been a year of encouraging but fragile recovery".
The BRC's survey found there had been a 0.6% decline in food sales the past quarter.
Trading updates from some of the UK's biggest supermarkets on Thursday showed that sales had suffered as competition increased.
Like-for-like sales for the chain Morrisons fell 5.6% in the six weeks to 5 January. Tesco's like-for-like sales also were down by 2.4% during the Christmas period.Like-for-like sales for the chain Morrisons fell 5.6% in the six weeks to 5 January. Tesco's like-for-like sales also were down by 2.4% during the Christmas period.
Morrisons shares fell 7% on the news, while Tesco shares dropped 4%. Morrisons said that its lack of online presence had hit sales, while it also suffered from competition from discount supermarket chains such as Lidl and Aldi.
Morrisons said that its lack of online presence dented its sales, while it also suffered from competition from the discount supermarket chains Lidl and Aldi. The online retail boom was very much in evidence in late 2013, with many High Street chains expanding their internet offerings, and some shops reporting record figures for the amount customers purchased online around Christmas.
The online retail boom was very much in evidence in late 2013, with many High Street chains expanding their internet offerings, and some shops reporting record figures for the amount customers purchased online and on their smartphones around Christmas.
So-called Cyber Monday has also become popular in the UK as well as the US and elsewhere, with big discounting online on the first Monday of December.So-called Cyber Monday has also become popular in the UK as well as the US and elsewhere, with big discounting online on the first Monday of December.
Some estimated that £300,000 was spent online every minute on this year's Cyber Monday, as consumers got down to the business of Christmas shopping.