{"id":538458,"date":"2021-01-12T15:44:00","date_gmt":"2021-01-12T15:44:00","guid":{"rendered":"https:\/\/www.capgemini.com\/gb-en\/?post_type=press-release&#038;p=538458"},"modified":"2025-03-10T09:28:35","modified_gmt":"2025-03-10T09:28:35","slug":"strong-december-caps-standout-2020-as-online-sales-growth-hits-13-year-high","status":"publish","type":"press-release","link":"https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/strong-december-caps-standout-2020-as-online-sales-growth-hits-13-year-high\/","title":{"rendered":"Strong december caps standout 2020 as online sales growth hits 13-Year High"},"content":{"rendered":"\t\t<div class=\"wp-block-cg-blocks-hero-press-release\">\n\t\t\t<header class=\"header-hero-press-release\" role=\"main\" id=\"main-content-press-release\">\n\t\t\t\t<div class=\"container\">\n\t\t\t\t\t<div class=\"hero-press-release\">\n\t\t\t\t\t\t<div class=\"hero-press-release-content-wrapper\">\n\t\t\t\t\t\t\t<div class=\"row\">\n\t\t\t\t\t\t\t\t<div class=\"col-12\">\n\t\t\t\t\t\t\t\t\t<div class=\"header-title\">\n\t\t\t\t\t\t\t\t\t\t<h1>\n\t\t\t\t\t\t\t\t\t\t\tStrong december caps standout 2020 as online sales growth hits 13-Year High\t\t\t\t\t\t\t\t\t\t<\/h1>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"header-description\">\n\t\t\t\t\t\t\t\t\t\t<p><\/p>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<div class=\"header-date\">\n\t\t\t\t\t\t\t\t\t\t<span>Jan 12, 2021<\/span>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t<\/header>\n\t\t<\/div>\n\t\t\n\n\n<section class=\"wp-block-cg-blocks-intro-para undefined section section--intro\"><div class=\"intro-para\"><div class=\"container\"><div class=\"row\"><div class=\"col-12 col-md-1\"><nav class=\"article-social\"><ul class=\"social-nav\"><li class=\"ip-order-fb\"><a href=\"https:\/\/www.facebook.com\/sharer\/sharer.php?u=https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/strong-december-caps-standout-2020-as-online-sales-growth-hits-13-year-high\/\" target=\"_blank\" rel=\"noopener noreferrer\" title=\"opens in a new window\"><i aria-hidden=\"true\" class=\"icon-fb\"><\/i><span class=\"sr-only\">Facebook<\/span><\/a><\/li><li class=\"ip-order-li\"><a href=\"https:\/\/www.linkedin.com\/sharing\/share-offsite\/?url=https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/strong-december-caps-standout-2020-as-online-sales-growth-hits-13-year-high\/\" target=\"_blank\" rel=\"noopener noreferrer\" title=\"opens in a new window\"><i aria-hidden=\"true\" class=\"icon-li\"><\/i><span class=\"sr-only\">Linkedin<\/span><\/a><\/li><\/ul><\/nav><\/div><div class=\"col-12 col-md-11 col-lg-10\"><h2 class=\"intro-para-title\"><strong>LONDON UK \u2013 12 January 2021: <\/strong>UK online sales growth remained solid throughout December, coming in at +37% Year-on-Year (YoY) for the month and driving the annual figure to a staggering 13-year high. That\u2019s according to the latest IMRG Capgemini Online Retail Index, which tracks the online sales performance of over 200 retailers. Closing a turbulent year, which was underscored by high street closures and massive restrictions on the consumer way of life, 2020 brought online retail to the fore like never before \u2013 explaining why the full-year growth figure of +36% (YoY) significantly outperformed the start-of-year prediction of +7.8% (YoY).<\/h2><\/div><\/div><\/div><\/div><\/section>\n\n\n\n<section class=\"wp-block-cg-blocks-group undefined section section--article-content\"><div class=\"article-main-content\"><div class=\"container\"><div class=\"row\"><div class=\"col-12 col-md-11 col-lg-10 offset-md-1 offset-lg-1\"><div class=\"article-text article-quote-text\">\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>As the UK navigated a series of tiered lockdowns, online retail sales in December defied forecasts of a poor Christmas trading period. With sales starting early and Christmas travel plans halted, online shopping continued the momentum it had built throughout the quarter \u2013 with sales up 37.6%, across the three months. This was largely driven by November\u2019s peak performance of +39% YoY and the Black Friday sales period.<\/p>\n<\/blockquote>\n\n\n\n<p>Breaking down the results from a category perspective, the holiday period drove significant sales in electricals \u2013 up +116% (YoY). As firmer restrictions were put in place and people continued to meet outside, gardening sales were also strong for December \u2013 up +165% YoY. These figures round-off an extremely successful year for both categories, with electrical sales up +90.8% YoY and garden sales up + 222.5%. Meanwhile, as social interactions dwindled throughout the year, poor December clothing sales of +3.2% YoY failed to boost the yearly figure of just +1.3%. This was down from 8.2% in 2019. Footwear was particularly hard hit, down -5% YoY in December and -10.8% overall in 2020.<\/p>\n\n\n\n<p>Other notable spending trends in December include the widening of the gap between multichannel and online-only retailer performance \u2013 with the two groups recording figures of (+52.4%) and (+11.4%) respectively. The yearly results echoed this pattern, showing overall sales growth of +57% vs. +9.1%<\/p>\n\n\n\n<p><strong>Lucy Gibbs, managing consultant \u2013 Retail Insight,<\/strong> <strong>Capgemini<\/strong>: <em>\u201cRetail in 2020 has been fundamentally shaped by the pandemic, which caused disruption to consumer demand norms and a shift in focus to digital channels; reflected in the strongest online Year-onYear growth in 13 years.&nbsp; December sales closed the year with continued double digit growth, up +37%, amid mixed lockdown tiers across the UK. Throughout the year, multichannel retailers have driven a large amount of this growth due to the transfer of demand to online, up +57%. Interestingly, pure online retailers ended the year at +9.1% for 2020, compared to 9.8% last year, though the story remains split by the sector demand shift away from clothing and increasing in electricals, home and garden.&nbsp; We have also seen smaller retailers outperform the larger ones, perhaps due to the ability to be more agile in response to the changes.<\/em><\/p>\n\n\n\n<p><em>\u201cLearnings from 2020 will be crucial as we navigate the uncertainties this year and a sense of a new baseline will take a while to be established. Retailers best set to ride out the storm are those with a strong online presence and the ability to remain nimble, using demand sensing to react to the changing landscape and adapt to surges both instore and online, combined with a readiness to take on opportunities as they come in 2021.\u201d<\/em><\/p>\n\n\n\n<p><strong>Andy Mulcahy, strategy and insight director, IMRG<\/strong>: <em>\u201cAt the start of each year we usually provide a forecast for online sales growth for the coming year. In 2020 things changed rapidly, and it makes predicting 2021 extremely difficult. We could end up with a year where significant pandemic disruption lasts for the first quarter, the first half, or most of the year; shopper spend might divert strongly to experiences and holidays if things open up again; the economic situation might lead to a squeeze on spend; the list of potential macro variables goes on.<\/em><\/p>\n\n\n\n<p><em>\u201cAs it is so uncertain, some datasets are going to look odd this year and we think putting a forecast out would not be useful. This might be a year where we have to adjust our understanding of what good looks like. For example: while growth in Q1 will probably look similar to previous lockdown rates, from April in 2020 those rates were extremely high and will be hard to build upon. If a category was up +120% one month in 2020, recording a drop of -20% for that same month in 2021 might actually be considered a reasonable result.\u201d<\/em><\/p>\n\n\n\n<p><strong>-ENDS-<\/strong><\/p>\n\n\n\n<p><strong>Disclaimer<\/strong><\/p>\n\n\n\n<p>The IMRG Capgemini Sales Index was adjusted in August 2020 to reflect updated historic figures from our retail panel. Previously reported results have been recalibrated to provide a more accurate view of the market index.<\/p>\n\n\n\n<p><strong>About the \u2018IMRG Capgemini Online Retail Index\u2019<\/strong><\/p>\n\n\n\n<p>The IMRG Capgemini Online Retail Index, which was started in April 2000, tracks \u2018online sales\u2019, which we define as \u2018transactions completed fully, including payment, via interactive channels\u2019 from any location, including in-store.<\/p>\n\n\n\n<p><em>*Please note from January 2020 the Index no longer includes data from the travel sector<\/em><\/p>\n\n\n\n<p><strong>About IMRG<\/strong><\/p>\n\n\n\n<p>For over 20 years, IMRG (Interactive Media in Retail Group) has been the voice of e-retail in the UK. We are a membership community comprising businesses of all sizes \u2013 multichannel and pureplay, SME and multinational, and solution providers to industry. We support our members through a range of activities \u2013 including market tracking and insight, benchmarking and best practice sharing. Our indexes provide in-depth intelligence on online sales, mobile sales, delivery trends and over 40 additional KPIs. Our goal is to ensure our members have the information and resources they need to succeed in rapidly-evolving markets \u2013 both domestically and internationally. <a href=\"http:\/\/www.imrg.org\/\">www.imrg.org<\/a><\/p>\n\n\n\n<p><strong>About Capgemini<\/strong><\/p>\n\n\n\n<p>Capgemini is a global leader in consulting, digital transformation, technology and engineering services. The Group is at the forefront of innovation to address the entire breadth of clients\u2019 opportunities in the evolving world of cloud, digital and platforms. Building on its strong 50-year+ heritage and deep industry-specific expertise, Capgemini enables organizations to realize their business ambitions through an array of services from strategy to operations. Capgemini is driven by the conviction that the business value of technology comes from and through people. Today, it is a multicultural company of 270,000 team members in almost 50&nbsp;countries. With Altran, the Group reported 2019 combined revenues of \u20ac17billion.<\/p>\n\n\n\n<p>Visit us at <a href=\"http:\/\/www.capgemini.com\/#_blank\">www.capgemini.com<\/a>. <em>People matter, results count.<\/em><\/p>\n\n\n\n<p>\u2014\/\u2014<\/p>\n<\/div><\/div><\/div><\/div><\/div><\/section>\n\n\n<div class=\"wp-block-cg-blocks-cg-block-related-content\"><section class=\"relatedContentBlock\"><div class=\"container\"><div class=\"row\"><div class=\"content-title col-12 col-md-8\"><h2 class=\"related-content-heading\">Related News<\/h2><\/div><\/div><div class=\"row relatedContent\"><div class=\"col-lg-4 col-md-6 col-xs-12\">\n\t\t\t\t\t\t\t<div class=\"box\">\n\t\t\t\t\t\t\t\t<a aria-label=\"Read more about Capgemini strengthens its position in enterprise AI with investment in the OpenAI Deployment Company\" href=\"https:\/\/www.capgemini.com\/gb-en\/news\/press-releases\/capgemini-strengthens-its-position-in-enterprise-ai-with-investment-in-the-openai-deployment-company\/\" 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