SHOPPING ONLINE OR NOT?
While we are on lockdown, because of the COVID 19, our in-store shopping experiences are replaced with buying online. For us that enjoy going from store to store, this is minus, but for those who want to buy from comfortability of own home, this is another opportunity to do it.
The luxury industry is seeing a large boost in online shopping that goes up to 102 % in products added to cart, and an 82 % increase in a year-over-year sales.
Luxury online purchases from first-time buyers were up to 181% in year-over-year sales in April 2020 because most of the customers are buying online the necessary things that they should usually buy in stores.
The increase in sales, by some analysis, is up in beauty and pharmaceutical products. As for the pharmaceutical products, it is reasonable to have some growth as customers are buying pandemic food, as hand sanitizer, home cleaners, and toilet paper.
More interesting is the increase in sales of beauty products, which leads us to the fact that customers are ready to try some new brands buying online and to invest in self-care. The beauty companies in order to achieve the increase of the sales are making some online tutorials and representing new products online.
The pharmacy and beauty categories saw a 100 % increase in online sales in April 2020, as compared to April 2019. Online pharmacy sales were up to 142 % in first-time buyers and a 117% increase in second-time buyers.
Bluecore’s report analyzed shopper behavior across the e-commerce sites of 70 brands, including 115,9 million orders and $ 17 billion in total sales. The company compared the sales data between April 2020 and April 2019, as well as numbers from February 2020 with April 2020.
On the other hand, department stores were struck by the coronavirus closures. Saks Fifth Avenue, Bergdorf Goodman, Bloomingdale’s, and Nordstrom are trying to maintain some sales by having run big sales out of the usual sale season. Neiman Marcus is reportedly considering bankruptcy.
In the Bluecore research, it was stated that department stores online sales 44% in April this year, compared to April last year, seeing a 24% decrease in first-time buyers and a 37 % decrease in second-time buyers. That suggests that those companies are relying on loyal clients and are struggling to achieve new clients.
In the meantime, apparel is holding steadily with a 20 percent year-over-year increase in online sales and a 27% increase since February. Clothing is one of the most mature e-commerce verticals, and the sellers should expect a lower percentage of growth. But because of the lockdown and more people buying online, there is the opportunity for new sales.
The numbers and the analyses are one thing, but most of us would like this lockdown to finish, and we can go shopping and have a cup of coffee with our friends.
For more, please refer to Emporium-lifestyle
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