UK consumers to spend 42 billion pounds this Christmas

Tuesday, 25 November 2014

A new report released by Deloitte states UK consumers are set to spend over 42 billion pounds this Christmas, up 4 percent on last year. Online sales are expected to account for 13 percent of December takings, the report also states.

Mintel predicts retail sales will rise 3 percent this Christmas to 36.5 billion pounds, with 25 percent of UK shoppers saying they will do more of their shopping online this year.

Click & collect will surge to 2.5 billion pounds

Meanwhile, the growing importance of click & collect will see 2.5 billion pounds in sales this Christmas ordered online and collected in-store, Deloitte also said. At 45 percent of all online transactions, this is almost double the level seen in December 2013.

In addition 40 percent of brick & mortar store sales will be digitally influenced, with consumers using some form of digital technology to research or buy products. This is equivalent to 15 billion pounds, which is almost three times the size of expected online sales for December.

Deloitte head of retail Ian Geddes said: “Growth in the influence of digital on physical retail has been driven by consumers’ desire to access information on products and services, compare prices and increasingly pay and transact via digital devices.

“Those retailers that have invested in developing apps may now find that if these are only optimised for use as a separate channel, rather than an integrated part of the shopping experience, they will not be fit for purpose.

Sales via mobile devices are expected to account for 45 percent of UK online purchases during the festive season, according to online retailers’ association IMRG.

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