Online purchases make up 10% of retail sales.
Total online retail spending in New Zealand increased by 15% in January, in comparison to the same month last year, according to the latest Bank of New Zealand (BNZ) monthly update.
BNZ director of institutional research Gary Baker said growth in online sales hit a peak a few years ago when it was taking off, but there was still a way to go before online spend levelled out.
“Online sales are now at 10% of retail sales, groceries and fuel aside, all those other goods like books and toys and games and clothes, 10% of consumers are now shopping for them online,” Baker explained.
Despite strong double-digit growth in local sales of 11%, international online sales continued to dominate, up 21% in January compared with the same month a year earlier, although Baker said this was partly due to a drop in the New Zealand dollar.
“It’s hard to be too specific on what is driving the growth – it’s partly just the ongoing trend towards online but also the fact that the Kiwi dollar has dropped 15% against the US dollar,” Baker said.
Growth in online sales was boosted by the computer and entertainment media category which continued the strong sales it had in December.