NAB expects online sales to continue to slow
Month-on-month growth in the e-commerce industry continues to slow, with sales growing just 0.2 per cent in February, as compared to 0.3 per cent growth in January. Year-on-year growth slowed from 12.1 per cent in January to 10.1 per cent in February.
Analysts expect sales to grow at 0.3 per cent going forward, down from an estimated 0.5 per cent last month. This is according to NAB’s most recent monthly Online Retail Sales Index.
NAB estimates that Australian consumers have spent around $22 billion over the last 12 months to February 2017. This is equivalent to 7.2 per cent of spending at traditional bricks-and-mortar retailers as measured by the ABS in the 12 months to January 2017.
Category performance were mixed in February with an improvement in food catering, personal and recreational goods, media and department stores, offset by slowing in homewares and appliances, groceries and liquor, daily deals and games and toys.
SME sales represent just over a third of all online sales. In the month, SME sales growth outpaced the larger retailers after a weak December result. Year-on-year growth for SMEs was also considerably stronger than corporate growth.
Further details can be found in NAB’s monthly report.