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News - 20 December 2005

Online clothing sales outstrip electronics in US

The first six weeks of Christmas trading online show record-breaking figures in all categories. But the biggest surprise is that clothing has now moved into the lead as the highest selling sector.

According to Harris Interactive's Holiday eSpending Report, US online shoppers have spent $3.4 billion on clothing, which was the majority, or 17%, of total online revenue.

The consumer electronics and computer hardware/peripherals categories, normally the top selling categories, have been kicked into second and third place with revenue totals of $2.8 billion and $2.7 billion, respectively. Books and toys/video games rounded out the top five product categories, accounting for a respective $2.2 billion and $1.4 billion in online revenue.

This is a significant development in online shopping as it indicates that the need to touch and feel at the point of purchase is becoming a lot less important to consumers. It is also worth noting that this trend will no doubt be echoed on UK sites in the coming years.

The key to selling any product online is to develop a trustworthy brand. This means providing a secure and efficient service and operating a customer friendly returns policy. The latter is particularly important for clothing retailers where sizing is not always consistent across brands.

Perhaps the fact that the top online retailers are all well-known organisations that have spent years winning the trust and confidence of their customers confirms the importance of building loyalty.


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