Online shopping

Online shopping spending soared to $7.67 billion last year, according to NZ Post

Online shoppers spent $7.67 billion last year, setting a new online spending record, according to the New Zealand Post eCommerce’s latest Spotlight report.

But the state-owned postal service company has started to prepare for a sustained outbreak of Omicron, to ensure package deliveries will continue while people isolate themselves.

Chief operating officer Brendon Main said a sustained outbreak of Omicron had caused different challenges for NZ Post.

“We are preparing for both an increase in demand for parcel delivery and a decrease in resources, as it is likely that at any time some of our staff will be sick or self-isolating,” he said. -he declares.

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“In anticipation of this, we are getting ahead and increasing our ability to deliver by around 10%, including bringing in more people ahead of time and our goal will be to continue to grow as quickly and safely. safety as possible as the situation evolves.”

Chief commercial marketing officer Chris Wong said another year of lockdown restrictions had led to huge growth in online shopping.

“We started to see record numbers of packages when New Zealand entered Covid-19 lockdowns,” Wong said.

RNZ

Auckland’s lockdown and its growing demand for parcel deliveries has brought NZ Post to the brink.

“Last year saw the longest period of retail closure in New Zealand, particularly in Auckland, and with shopping online being the only option for many, we have continued to see online shopping reach a whole other level.

“However, there is no doubt, whether we are locked out or not, that online shopping is now an important part of how Kiwis shop every day,” he said.

The report found that the average online shopper spent $3,567 last year, up from $2,913 in 2020. The average amount spent per month per shopper last year was $297.

The 45-60 age group was the biggest spender, but the youngest shoppers had the fastest growth rate.

Those aged 15-29 and 30-45 increased their online spending by 25% last year and accounted for 43% of total online spending.

Clothing and footwear led the way, up 34% to more than $1.58 billion.

On Trade Me, women’s tops and shirts were the most purchased items last year, up 1% from 2020.

Trade Me spokeswoman Sarah O’Leary said plants and trees were the second most purchased item, up 9%, followed by cellphone cases.

Women’s dresses and women’s shoes were also popular purchases.

In-store spending increased 1% from 2020 to $654 million.

Shoppers spent $2.5 billion online in the three months to December, up 45% from the same quarter a year earlier and 71% from the same quarter in 2019, the report says. .

Wong said October through December is peak season for retailers and includes big sale day events such as Singles Day, Black Friday and Cyber ​​Monday.

“With lockdown restrictions firmly in place ahead of this time, we’ve seen many retailers adopt new and different promotions, starting much earlier and spanning longer periods,” he said.

Singles Day saw $30.8 million spent online, up 30% from 2020, followed by Black Friday at $39.8 million up 17% and Cyber ​​Monday at $39.8 million $39.5 million, up 19%.

With a long run of high spending leading up to Christmas, there were fears that Boxing Day had failed to live up to its reputation for causing a shopping frenzy, Wong said.

“However, that was not the case. Nearly $195 million was spent on Boxing Day online and offline,” he said.

Boxing Day online spending was up 29% year over year, driven by nearly 184,000 online transactions for the day.

“Like previous big sale events, Boxing Day promotions seemed to start much earlier and stretch well beyond the day and into the new year, allowing retailers to end the year strong,” said Wong.