Analysis: Exploring Q4 2020’s highs

The December sales numbers contributed to a strong final quarter, by adding to November’s big numbers for Singles Day, Black Friday and Cyber Monday. At $1.5b, Q4 online spending was up 19% on 2019.  

In 2019, Q4 spend dominated the year making up almost 30% of the annual online spend.  In 2020, Q4 come in second to the $1.6b of sales during the lockdown influenced Q2. Q4’s online sales numbers contributed about 27% of the year’s total shopping spend. Overall Q4 was the biggest spending quarter ever, with Kiwis spending a massive $15b across online and instore. This is up 8% on 2019.

67,000 new customers joined the online phenomenon in Q4, averaging 1.4 transactions each and spending an impressive $136 per person. It’s a different story to existing customers who shopped more often (3.3 times on average) but spent less ($110 each).

It’s been a year where shoppers have shown a strong preference for buying local and Q4 was no exception, with 70% of spend with domestic merchants. All sectors benefited from this local sentiment with many experiencing numbers 30% or more up on the same period in 2019. Recreation, Entertainment, Books and Stationery was the only sector to have single digit growth for the quarter.


In Q4:

59
%
of spend was from
30-50 year olds
25
%
Growth is
spending by over 60
20
% +
spending growth from
Gisborne, Auckland, Northland,
Hawkes Bay and Taranaki

All regions, except Southland and Otago, experienced double-digit growth in spend for the quarter, with Gisborne leading the way with 27% growth. Age profiles reflected the pattern we’ve seen all year, with 30-50 year olds making up the majority of online shoppers but the over 60s growing their online spending at the fastest rate.

The data used for this eCommerce Spotlight is card transactional data supplied by Datamine

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