UK online retailers break January records amid coronavirus lockdown

Last month saw the highest UK online sales since the coronavirus pandemic began (+74% YoY), and the highest January sales on record since 2008, according to research from IMRG and Capgemini.

A notable trend was the surge in online only retail sales, as consumers navigated the shut down of non-essential retailers during the latest coronavirus lockdown.

Ocado Group CEO Tim Steiner: “Millions of grocery customers worldwide have moved online for the first time, and they are not going back. Customers will, however, become much more discerning, and will look for the best customer experience”. #OcadoGroup #OcadoGroupResults $OCDO pic.twitter.com/WNiFiPKN0l
— Ocado Group (@OcadoGroup) February 9, 2021

While the gap between omnichannel and online only has widened since the outbreak, the latter moved to a pandemic high of +31.2% YoY. Similarly mobile commerce was up 169.1%, the biggest rise in spend since 2013.

Andy Mulcahy, Strategy and Insight Director, IMRG, says: “The introduction of the third lockdown, which is much stricter than the second, has served to supercharge online sales again for almost every product category. There were seven that recorded year-on-year growth of 170%+ in January.”

Lucy Gibbs, Managing Consultant - Retail Insight, Capgemini, comments: “January typically sees more subdued sales and a drop off from Christmas trading.”

“However, the anticipation of a ‘return to normal’ met the reality of challenges in an ever evolving pandemic and customers once again turned to online shopping during the third national lockdown.”

She adds: “The gap between retailers who thrived last year and those who were struggling to survive is becoming clear as news of brand consolidations are hitting the headlines with a focus on online value over the physical estates.”

“What this means for the high street is yet to be determined, but it is clear that digital interactions will further dominate the future shopping experience.”