In much of the world, schools have reopened. One of the first countries to reopen was China, and some European countries have been opened since late April. The US school systems are opening on a state-by-state basis.
South Korea’s e-commerce and pure retail revenue are both growing. Businesses welcomed back customers, public spaces re-opened, and coronavirus rates remain lower than other countries.
Welcome to the CCInsight project where we track how COVID-19 impacts consumer spending around the world. Here are some of the top e-commerce trends we’ve spotted over the past seven days.
Online UK Fashion Retailers Experience Lowest Revenue Since Beginning of Lockdown
UK online fashion retailers experienced their worst weekly revenue growth since the beginning of the lockdown in March. Although revenue is up year-over-year, growth has slowed.
Alex Timlin, senior vice president at Emarsys, said: “With fears of a second wave in Europe, consumers are clearly still nervous about spending too much and are keeping a close eye on their finances. The online fashion industry has done relatively well since the start of Covid compared with other industries, but how long that success can continue remains to be seen. Now, more than ever, fashion brands need to invest in digital experiences to stay ahead of the competition.”
Value Retail brands Now Taking Luxury Real Estate
Premium commercial real estate locations in the US, normally leveraged by luxury retailers like Neiman Marcus or Saks Fifth Avenue, have been overtaken by value retail brands like Five Below.
Brick-and-mortar retail has faced a tremendous roadblock with the pandemic, and the possibility of replacing retail with e-commerce is raging. But it looks like these new value retailers show there is hope for brick-and-mortar retailers.
Major European Fashion Retailer Shares E-Commerce Revenue with Franchisers
As e-commerce increases during the COVID-19 panic, fashion brand Mango is doing something different. The brand will be sharing part of their e-commerce revenue with franchisers.
E-Commerce revenue in Europe showed significant growth in April and May of this year, and Mango franchisers will be rewarded with these gains.
The brand’s director of expansion Daniel López stated: “Many of the transactions that end up in our e-commerce business come from our customers visiting our physical stores. Sharing the online revenue with franchisers is fair.” Without franchisers, in-store pickups and other services would not be provided to Mango customers. The brand understands this and seeks to strengthen the relationship between online and offline.
Data Insights for the Week
The top five pure players in the Americas are performing better than European and APAC counterparts. Retail online is strong with Europe and the Americas.
Revenue Increase Leaders at a Glance
As a whole, Europe’s pure e-commerce is quite healthy this week. Out of the 30 countries we track in the region, only nine are below 0%. The same is about the same for online retail with 10 below 0%, though there has been some decline overall in the last two weeks. Europe is still stronger than the Americas and APAC with a majority of countries experiencing positive growth.
Revenue Increase Leaders at a Glance
At the back of the pack is APAC, with pure player revenue growth declining over the last two weeks. Retail e-commerce is a little better for most countries. Australia tops both lists here, but Thailand and New Zealand continue to grow revenue as well.
Revenue Increase Leaders at a Glance
Top Product Trends of This Week
Key Product Trend Insights: Fitness equipment tops the list this week with skipping rope at +2,841% YoY uplift. Safety products are up +459% YoY and home improvement products are also seeing increases in uplift.
Growth Rate of Online Transactions
E-commerce is still growing year over year, but we are potentially about to enter one of the most trying economic periods of the pandemic as unemployment benefits end in the US, and countries around the world brace for decreases in consumer spending.
Trends by Region
Pure e-commerce: Revenue growth YoY for pure e-commerce is strongest in the Americas, followed by Europe and a faltering APAC.
Retail online: APAC ends this week as the leader, though much of this can be attributed to Australia’s outstanding performance in the last two weeks. The Americas are momentarily on a downward slope and Europe is remaining steady.
Trends by Country
Pure e-commerce: Many countries in the Americas have seen revenue increases in the last two weeks. The top two, Argentina and Puerto Rico , have led the region for over ten weeks now with over 200% revenue growth YoY.
The star this week is Peru, rising +109% in the last two weeks alone! Among the other countries in the region who have grown revenue in the last two weeks are Chile +198% (+21% in the last two weeks), followed by Brazil with +7% (+19% in the last two weeks), Mexico with +38% (+16% in the last two weeks), and Jamaica with +59% (+14% in the last two weeks).
Pure e-commerce in Europe is performing well this week. The top two countries have been on top for more than a month with Sweden at +117% (+35% in the last two weeks) Belarus at +93% (-18% in the last two weeks).
In terms of the fastest revenue growers in the last two weeks, France made the largest gains with +52% (+37% over the past two weeks). The other countries with strong growth in the last two weeks are Portugal (+24%), Russia (+19%), the Netherlands (+15%), and Slovakia (+10%).
The United Kingdom is at +27% YoY (-20% in the last two weeks) and Germany is at +39% YoY (-3% in the last two weeks).
Pure e-commerce revenue growth in APAC is down and South Korea is the only country setting growth at +11.17% in the last two weeks. They’re still down -52% YoY. Australia sits on top with +77% revenue growth YoY (-22% in the last two weeks), followed by Thailand with +48% YoY (-39% in the last two weeks).
Japan has plunged -77% in the last two weeks to end at -41% YoY.
Retail online: In the Americas, Ecuador is the only country in the region seeing +200% revenue growth YoY, a growth rate that the country has had for the last few months. Mexico is back to +200% YoY and Peru had a significant drop +64% (-109% in the last two weeks).
Brazil is the only other country in the region this week with gains, even though they’re at -38% YoY, they’re up +9% in the last two weeks. Most of the other countries in the Americas are taking hits to revenue with Canada down 11% in the last two weeks to finish at +29% YoY, and the United States down to 10% in the last two weeks (+75% YoY).
In Europe, Finland jumped +125% in the last two weeks to achieve +110% revenue growth YoY, which is a massive boost in such a short amount of time. Another big winner is Belgium, up +80% over the last two weeks and +152% YoY revenue growth. The UK is still near the top with +108% YoY revenue growth (a +16% increase in the last two weeks). Although Turkey is down -69% in the past two weeks, they still have +132% YoY revenue growth.
In the last two weeks, several countries are seeing great revenue growth, including Poland at +125% YoY (+48% increase over the last two weeks), the Netherlands at +59% (up +46% in the last two weeks), Ireland at +60% (+35% in the last two weeks), Italy at +60% (+32% in the last two weeks), and Hungary at +23% (+26% in the last two weeks).
Revenue growth has changed in the past two weeks for APAC. There is less positive growth but it runs the gamut from Australia on top with +45% YoY (-11% in the last two weeks) down toChina with +4% YoY (+4% in the last two weeks). In between these two countries are New Zealand with +75% (+6% in the last two weeks), and Thailand with +4% (-11% in the last two weeks).