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UK online spending surged in July

by Phil Muncaster

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20 Aug 2008

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Monthly internet spending is now equivalent to £79 for every person in the UK

Online spending in the UK continues to defy the gloomy economic climate, according to figures released today by IMRG and Capgemini.

UK internet sales reached £4.8bn in July, a rise of 11.3 per cent over June.

IMRG and Capgemini release their e-retail sales index on a monthly basis to track the performance of e-commerce.

Spending is now equivalent to £79 for every person in the UK, and is all the more impressive when compared with the latest British Retail Consortium figures for the high street which reported sales down 0.9 per cent from June to July.

The largest increases were seen in clothing, footwear and accessories, which rose by 22.8 per cent.

This suggests that shoppers are feeling more at ease buying such products online, according to Mike Petevinos, head of consulting for retail at Capgemini UK.

"More categories are likely to follow as consumers feel more comfortable and retailers get their delivery models right, making returns easier," he said.

"There has been a lot of work done here to improve the fulfilment mechanism and in distribution and customer service, where the greatest challenge is for multi-channel retailers to leverage and integrate their distribution networks."

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