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Newsroom Full Article

A Year of Negative Online Growth

November 12, 09 by Edahn Golan


U.S. consumers have
not been filling their
e-carts as they did
in the past
U.S. online retail spending totaled $29.6 billion, down 2 percent versus a year ago. This is the fourth consecutive quarter that has seen negative e-commerce spending growth, according to comScore. This is the first time this has happened.

 

Online spending fell 3 percent in the fourth quarter of 2008, was flat in the first quarter of 2009 and declined 1 percent in the second quarter of the year.

 

“The third quarter showed negative marginal growth for the second consecutive quarter – the first time on record we’ve witnessed sustained dips in U.S. e-commerce spending,” said comScore chairman Gian Fulgoni.

 

Fulgoni anticipates that fourth quarter growth will be positive, even if marginally so. “With retailers gearing up for the online holiday shopping bonanza and a fourth quarter that will include easier comparisons against a year ago, we are hopeful that this Christmas season will be merrier than the last.”

 

One way to invigorate sales, according to comScore, is by offering free shipping. The company said the importance of free shipping has increased considerably during the recent economic downturn. The past several quarters have seen the percentage of e-commerce sales transactions including free shipping increase from 31 percent in the first quarter of 2008 to 42 percent in the last quarter.

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