The number of shoppers in Q1 2021 was 135,000 higher than the same time last year. However, if we compare it to the previous Quarter (Q4 2020), it appears to have plateaued. In fact, there were about 1,000 less Kiwis shopping online compared to Q4 2020. Interestingly, 62,000 shopped online in this quarter for the first time, suggesting that a number of existing shoppers didn’t shop. Overall basket size remains about the same (1% up) however new shoppers seem to be entering the online world at the higher price point, with their basket size at nearly $140.
What is driving this quarter’s growth is a huge increase in transaction numbers. Online shopping has become the ‘way we shop’ for many Kiwis and they are buying online more often and across more sectors. In Q1 21 there were 13.7m online transactions, that’s up 25% (over 2.75m transactions) on the same period last year and 33% up on the same period in 2019.
The two sectors that show the biggest growth over the same quarter in 2020 were Clothing & Footwear (up 40%) and Department, Variety & Miscellaneous Retail (up 32%). Surprisingly, these weren’t the sectors that led the way in 2020. Homewares, Appliances & Electronics (up 31%) and Specialty Food, Groceries & Liquor (up 28%) both continued their strong run from last year. After a disappointing 2020, Recreation, Entertainment, Books & Stationary is making a comeback, up 6% on Q1 20. 2020’s other disappointing performer, Health & Beauty, continues to see a decline in shoppers, transactions and spend.
Quarter one 2021 (Q1 21):