Online purchases remain strong this Christmas
December 4th, 2008
Despite the tough economic climate, online sales are actually faring quite well this Christmas season.
According to a report in the NMA today, many families are actually planning to spend more online this year than last.
The study, done by MRG, found that 75 percent of the 100-plus families surveyed were planning to make online purchases over this Christmas period, and 40 percent were planning to do so more than last year.
It noted that customers are doing more research online before they make their purchases. High street stores were the favoured venues for such research, follwed by online retail sites, and then manufacturer’s sites.
The NMA quotes Richard Wainright-Lee, MD of online gift retailer Iwantoneofthese.com, saying that the social dynamics of online shopping have also changed: “Families will do it while chatting together and sharing,” he says.
Furthermore, PhoCusWright recently released key findings in its European Online Travel Overview (4th Ed). The study found that at the close of 2008, online leisure/unmanaged business travel bookings to represent nearly 30 percent of the £212 billion European travel industry – the world’s largest regional travel market.
This report explains that the global economic conditions have put pressure on European travel growth in 2008, which will cause a softening of overall demand for travel, and heighten customer price sensitivity – which will drive more cost savings online. “This presents an opportunity for online channels to flourish, with complementary forces of demand and supply drawing consumers to the Internet marketplace.”
Another interesting fact pointed out by PhoCusWright is that traditional air carriers are gaining ground, since low-cost carriers are beginning to reach online saturation. The hotel sector, it also mentions, saw a 30 percent increase in online bookings in 2007.
Cheers and happy online shopping! Kaila x
