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Online spend grows at fastest rate for 16 months

Published: 12 May 2016
Consumer spending online increased by 2.5% year-on-year in April, according to the latest report from Visa Europe.
Online spend grows at fastest rate for 16 months
The report showed an e-commerce growth rate of +8.4% year-on-year, but said face-to-face expenditure was broadly flat at +0.2% year-on-year. Household goods sales showed one of the strongest rates of expansion at +3%.

Visa Europe's UK & Ireland managing director Kevin Jenkins said: "Growth in consumables remains evident, but consumer spending is increasingly focused on the experience economy. Eating out, booking holidays and discovering new experiences are all driving spending growth at a time when the lower cost of living is creating higher disposable incomes. In a month of mostly growth, the only sector to disappoint was clothing and footwear, again highlighting this shift.

"A very strong month for online sellers suggests much of the experience economy is being driven by pre-booking of activities online. While online prospered, face-to-face spending was relatively flat, highlighting the current discussion about the future shape of the high street as well.

"Eyes will now be on May, with a sunny start to the month providing promise for the high street but also a further fillip for restaurants and hotels looking to capitalise on our desire for experiences."

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