Commissioned by online shopping app, Wholee Prime, the study, which looks at trends across the UK, the US, Canada and Australia, found UK online retail sales grew from a low of 19% in the leadup to the first lockdown in March 2020 before increasing to a high of 36% in November 2020 amidst the second lockdown before falling in December and returning to 36% in January 2021 during the third and final lockdown. 

Each market saw the greatest proportional increase in online sales at the start of the first lockdown.

Titled ‘Covid and Online Retail: The pandemic and its effect on global shopping habits’, the report demonstrates that throughout the period the UK continuously enjoyed a higher proportion of online sales as a total of all retail sales relative to the other markets.

From January 2020 to April 2021 the UK saw the proportion of online sales average 29%, while the US had the second highest share (15%); Australia (9%); and Canada (7%).

The UK online retail market was also the most reactive to changes in pandemic restrictions, with online sales rising and falling as restrictions were introduced and lifted.

The report also examines the effects of lockdown on key retail sectors, specifically clothing, household goods and food.

Using data from the Office for National Statistics (ONS) the report reveals that all three sectors saw an increase in online retail’s share of sales as the pandemic began, especially for those goods deemed ‘non-essential’.

Except for April 2021, the proportion of online clothing sales has consistently been higher than that for household goods. The report’s authors attribute the trend to consumers becoming more relaxed in terms of purchasing products off the shelf, but that their feelings regarding trying clothes in a physical store remained cautious.

Most notably, the report compares online clothing sales in the US to those of the UK. It reveals that while both markets saw a rise and fall in online sales as the first lockdown began and ended; in the UK this was followed by a sustained increase in the share of online clothing sales, while in the US the opposite was true with online clothing sales stagnating.

“The last year has been one of huge upheaval for the entire global retail industry,” says Eleanor Thomas, head of research at Wholee Prime and author of the report.

“Brands, supply chains, and consumers have all had to reassess their approach to the retail industry. This report gives real insight into just how much of a transformation the industry has undergone.

“It shows how the pandemic has accelerated the already growing importance of online retail, with consumers who were sceptical of shopping online now aware of the possibilities the online marketplace can provide. Even as the world begins to reopen and shoppers return to in-store retailers, we believe this data shows that online retail has begun its march towards domination of overall retail sales. And this is certainly reflected in our own sales data. 

“As more and more consumers around the world turn to us for their shopping needs, as shown by our consecutive months of growth in the USA, Canada and Australia, we look forward to growing our sales and meeting the needs of consumers everywhere.” 

By Just Style