New Zealand’s total online retail spending in May was 6% higher than a year ago.
- Spending at offshore sites in May was up 2% on May last year, continuing the subdued growth trajectory we’ve observed for international purchases over the past 6 months. Bucking the trend, Computer and Entertainment Media categories continued to grow strongly.
- Spending at offshore Clothing retailers was barely up – just 1% higher than a year earlier.
- The NZ dollar was 6% weaker versus the USD compared to May last year, which may be discouraging some purchases. It can also lead to increased spending, as Kiwis now need to pay more NZD for the same USD-priced goods.
- Growth in spending at local online sites remained strong. Spending at domestic sites was up 9% compared to the prior May.
- Higher spending on food and groceries has been a key driver of the overall growth in online sales in recent months. This is an area where domestic retailers have a large market share compared to their offshore rivals. Consequently, higher spending on food is one reason why online spending at local sites is growing faster than spending at offshore site
