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With containment, this is the jackpot for online sales

by magictr
July 25, 2020
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Avec le confinement, c’est le gros lot pour les ventes en ligne

Photo: iStock
Year on year, the sales of electronic commerce have more than doubled, with an increase 110.8% compared to may 2019.

The sales value of e-commerce has reached a record of $ 3.9 billion in may, an increase of 2.3 % compared to April and 99.3 % compared to February, reported Friday by Statistics Canada. Year on year, the sales of electronic commerce have more than doubled, with an increase 110.8 % compared to may 2019.

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“In march 2020, new measures to slow the spread of the COVID-19 have had a clear impact on the way consumers were taking their purchases to the retail […] From February to may 2020, total retail sales decreased 17.9 %. However, the retail sales of electronic commerce have almost doubled (+99,3 %), and some retailers are relying more on this method of sale, ” says the federal agency for statistics.

Month-by-month, respectively, records of electronic commerce has coincided with declines in records of total retail sales. At the height of the impact of the COVID-19, retail sales have fallen to 33.9 billion in April, down 29.1 % compared to February and by 26.4% compared to April 2019. “While e-commerce has experienced a monthly growth of 63.8% in April, the store sales dropped 25.3 %. “In may, the total retail sales, however, have started to recover, reaching 39,3 billion.

Climax

The retail sales of electronic commerce have shown a steady increase, the proportion of online sales rose from 2.4% in 2016 to 4 % in 2019. The month of April marks the culmination of the impact of the COVID-19, the proportion of sales of electronic commerce from 3.8 % in April 2019 at a record 11.4% in April 2020. In may, as the environment of the retail sales in Canada allowed a greater number of in-store purchases, the proportion of retail sales of e-commerce was 10 %, continues Statistics Canada.

In its report, the federal agency has revealed that the 11 sub-sectors that were selling online had seen sales increase. By contrast, from February to April 2020, only those food and beverage has experienced both an increase of in-store sales (+3.3 %) and a sharp rise in e-commerce (+107 %). Also, the in-store sales were down 15.1% for the stores of various goods to 84.2 % for the stores clothing and clothing accessories. “While sales in stores declined for these sub-sectors, the sales of electronic commerce have increased. “

The closures required enterprise that have prevented retailers from selling traditional in-store have led to a greater shift to e-commerce. “At the same time, the stores of food — essential services that have been allowed to remain open — have experienced a 38% increase in sales of food during the second week of march compared to the year 2019 and a rise in the growth of sales of certain personal care products “, one can read in the study.

“The pandemic of COVID-19 will it have lasting impact on the retail sector ? Small businesses are turning increasingly to e-commerce platforms and the use of innovative […] obviously, the landscape of the retail trade will evolve, ” says Statistics Canada.

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