By Aimee Chanthadavong
Online retail sales continue to trend at a high level in May but growth rates have eased back year-on-year a following strong Mother’s Day sales period in April, the NAB Online Retail Sales Index for May shows. Although it had a bumpy start in the online sales space, the Click Frenzy flash sale event was called out as one of the key Mother's Day boosts that brought consumers out of the woodwork last month, according to NAB group chief economist, Alan Olster.
For the year to May 2013, Australians spent around $13.7 billion with online retailers. This level is equivalent to 6.1 per cent of the spending in the traditional bricks and mortar retail sector (excluding cafés, restaurants and takeaway food for a like-for-like comparison) in the year to April 2013.
The NAB Online Retaile Sales Index also pushed up a little in May to 228 points from 211 points in April.
Despite this, the growth rate for online retail sales slowed compared to April, with year-on-year growth pulling back to +18 per cent, compared to +24 per cent year-on-year in April.
NAB group chief economist Alan Olster said Mother’s Day promotions may have given shoppers a greater incentive to shop in April, resulting in softer figures for May.
"While growth for online sales was a little softer in May, this may in part reflect a boost to sales in April, related to the Mother’s Day ‘Click Frenzy’ promotion on April 23, which generated a strong sales lift for a number of participating brands,” he said.
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