Online sales “strong” but electronics remain “weak”, according to the NAB Online Sales Index
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Traditional retail sales totalled $220 billion to the 12 months to June 2012, while online retail spending hit $11.7 bn as both traditional and online experienced strong growth rates in recent months.
The NAB retail sales Index shows that Aussie retailers remain the dominant force in online as they take a multi-channel approach, developing an online presence alongside a traditional storefront as big names like Harvey Norman, Myer and David Jones have all been forced to do.
Online sales were “volatile” in early months of 2012 but now appear more stable over the last quarter, the Index also shows.
However, online sales figures are modest compared to bricks and mortar – just 5.3% of traditional retail transactions.
But bricks and mortar sales are growing by just 4.9% , while online is growing at five times that figure – at 25% – although from a modest base.
Domestic retailers continue to be the dominant force in online sales, says NAB, however sales in Household Goods & Electronics and Toys & Media categories have been “weak.”
This is because these products are discretionary in nature.
Local retailers accounted for 72% of all web sales in the past 12 months.
But is also appears Aussies are flocking to international retailers in big numbers with online sales to foreign stores growing at a faster pace than domestic sales – 29% year-on- year – compared to 24% for domestic sector.
Those aged in the 30s and 40s are among the biggest online consumers age group, while the under 30s are buying more from international retailers than any other age group.
Western Australia residents are among the biggest web consumers in Australia and the state outperformed the rest of the country, thanks to more buyers in their 30s, 40s and 50s.
However, NSW, Vic and Qld were also among the biggest spenders by state.
“Retailers are no longer viewing online simply as a sales and marketing channel but as a distribution and supply chain optimisation strategy,” the NAB Index states.
