// Online shopping sales have fallen to their lowest levels since before the COVID pandemic due to the cost of living crisis
// High street retailers only saw their total in-store sales go up 1.0% this month
Online shopping sales have dropped to their lowest levels since before the pandemic, as a result of the cost of living crisis.
Ecommerce sales dipped 3.3% in May, as the amount of goods bought from digital retailers like Amazon dropped, the BDO revealed.
Although there was a boom in online shopping during the pandemic, high inflation and in-store shops resuming normal trade seem to have curbed the trend.
Meanwhile, high street retailers only saw their total in-store sales rise by 1.0% this month.
The homeware market was hit worst of all, as its total like-for-like sales dropped 9.2% last month.
The fashion sector also recorded its third consecutive month of bad results, as its total like-for-like sales went down 1.5% during May.
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BDO LLP head of retail and wholesale Sophie Michael said: “These results are extremely discouraging. LFLs are an absolute value and therefore, given the high inflation rates, these figures suggest significant drops in volumes.
“With three Bank Holidays last month and the fact that footfall has increased compared to this time last year, these results highlight the huge pressure on the consumer purse.”
The firm’s head of retail continued: “Retailers are not just competing with each other, but also with the hospitality and leisure sectors for every pound of discretionary spending. The drop in online sales is also stark, recording the worst online sales results on record with the exception of the months impacted by the Covid-19 pandemic.”
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