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Online retail orders drop 12 percent as physical stores reopen

By Huw Hughes

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Online retail orders fell 12 percent in the UK the week non-essential retailers in England and Wales were allowed to reopen, new data reveals.

The biggest drops were seen across fashion, footwear and health and beauty, according to the latest figures from e-commerce specialists Salesfire, which compared data from Tuesday April 6 and Tuesday April 13.

Online health and beauty revenue dropped 18.8 percent over the week, while fashion and footwear orders dropped 12.2 percent and 9 percent, respectively.

It came as non-essential retailers in England and Wales opened on Monday after months of closure.

Online retail has boomed over the past year to unprecedented levels as the pandemic put a stop to physical shopping. According to the Office for National Statistics (ONS), the proportion spent online increased to 36.1 percent in February 2021, the highest on record. It compared with 35.2 percent in January 2021 and 20 percent in February 2020.

Shoppers eager for physical store experience

“People have clearly been very excited to return to stores after a lengthy closure and this data supports the images we have seen this week of long queues outside shops in towns and cities across the country,” said Salesfire CEO Rich Himsworth in a release.

“A fall in online orders for fashion and footwear was expected, as people return to stores to see, touch and try out clothes in person and retailers have been working hard with campaigns to generate excitement at returning to the high street.”

But Himsworth believes some of the changes to shopping seen over the past year could be permanent. “The convenience of online shopping will continue and may outweigh the experiential aspect for many, particularly for everyday items that don’t need to be seen in person such as electronics,” he said.

And options like same day or next day delivery will remain tempting for consumers who want to avoid crowds and shop with more convenience, Himsworth said.

“It will be interesting to see whether these trends are a reflection of consumers’ frustrations with lockdown and excitement to get out now that restrictions have eased, or whether the ongoing shift to e-commerce continues in the future,” he said.

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