LONDON | The UK's ongoing love affair with online shopping will deepen on Monday 2nd December 2013 when it is predicted that online transactions will top 7.7 million, up 16% on 2012, making it the busiest day of the year for ecommerce, according to Visa Europe. It is predicted that a whopping £450 million will be spent in one day, which equates to £312,500 being spent per minute or £5,208 per second online.
Mega Monday: the UK’s busiest online shopping day cements the nation’s love of ecommerce
- Visa Europe predicts that £450 million will be spent online as transactions top 7.7 million, making 2nd December the busiest online shopping day ever
- John Lewis has seen mobile orders more than double on a year ago, currently +114%. Within the John Lewis customer base, 42% of online traffic now comes from smartphones and tablet computers
- The IMRG Capgemini e-retail index reveals mobile now accounts for 27% of online spend
- Changing spending patterns suggest that this might be the last 'Mega Monday'
iPads, Cashmere and Uggs
As shoppers trawl the internet ahead of Christmas, John Lewis predicts that iPads, cashmere and Uggs will be the most sought after products as John Lewis prepares to receive more than 80,000 orders which will be processed each day at its 650,000 sq ft distribution centre in Milton Keynes.
More than 25% of all UK spend with Visa is online
UK consumers' shopping habits have changed significantly in recent years: more than 25% of all spend with Visa is now online and more and more consumers are using their mobile devices to search and purchase whilst on the go. IMRG, the UK's industry association for online retail, today reveals that mobile now accounts for 27% of online spend - a rise of 2,000% since the start of 2010.
Mobile Shifting Online Shopping Behaviour
Indeed with the proliferation of mobile technology, consumers' spending habits are indicating that this year may well be the last 'Mega Monday' with John Lewis expecting to see traffic on its website reach its annual peak on the evening of Sunday 1st December. The slots between 20.00 and 21.00 on both Sunday and Monday are expected to be the busiest periods by both Visa Europe and John Lewis.
Busiest Online Shopping Day
Analysis of Visa Europe's data shows that the busiest online shopping day historically falls on the Monday closest to the beginning of December. A combination of pay day for the majority of consumers falling on the last Friday of the month and a weekend spent browsing the shops, results in shoppers logging on to buy their gifts online on the subsequent Monday. All of these factors will result in consumers increasing their online transactions by 16% on last year.
7.7 million transactions
Jeremy Nicholds, Director of Commercial Development at Visa Europe, said: "UK consumers' love affair with online shopping will reach its peak on Mega Monday when we predict that we will process 7.7 million Visa transactions - a 16% rise on last year. Online shopping now accounts for more than 25% of spend with Visa in the UK, signifying the confidence that consumers have in the security of online payments and in the delivery of goods. With an average of £312,500 expected to be spent online every minute on 2nd December, the Christmas shopping season will certainly start with a bang!"
Mobile and Tablet brings Comfort in Online Shopping
Mark Lewis, online director at John Lewis said: "Our customers' shopping habits have changed over the past few years, and our peak time for browsing and shopping on johnlewis.com is now Sunday evening. With shoppers becoming more comfortable when purchasing via mobiles and tablets, coupled with better connectivity and the rise of smartphones so people can browse online through the day, it's not surprising the way we shop has changed."
Mobile Shopping in UK: 'stronger-than-expected performance'
Andrew McClelland, Chief Operations & Policy Officer at IMRG said: "A big increase in sales through mobile devices has been a major factor in driving our Index to a stronger-than-expected performance in 2013; earlier this year we revised our forecast for 2013 up from 12% to 15%. The percentage of online sales completed through mobile devices has risen from 0.4% at the start of 2010 to 27% in Q3 2013, and we anticipate that this growth will continue if the new range of budget tablets sell well this Christmas."
Visa Europe's Reliable Indicators for Online Shopping
Visa bases its prediction on up to the minute spending data and previous years' Christmas spending trends. Over £1 in every £3 in the UK is spent on a Visa card, making this data one of the most reliable indicators of trends in consumer spending. The weekend of 21st – 22nd December will be a key time for many consumers to make last minute purchases, with Visa Europe and John Lewis predicting Saturday 21st December to be the busiest day for shopping on the high-street. However, the busiest hour is predicted to be between 12.00 and 13.00 on Christmas Eve amid a last minute spree before the shops close.
About Visa Europe
Visa Europe is a payments technology business owned and operated by member banks and other payment service providers from 37 countries across Europe. Visa Europe works at the forefront of technology to create the services and infrastructure which enable millions of European consumers, businesses and governments to make electronic payments. It is not a credit card company, almost 80% of its business is on debit cards, and its members are responsible for issuing cards, signing up retailers and deciding cardholder and retailer fees.
Visa Europe operates a high volume, low cost business model that provides services to its members. Its surplus is reinvested into the business and used to improve capital and reserves. In the last six years, Visa Europe has invested over €1 billion in new technology and infrastructure. There are 470m Visa cards in Europe while €1 in every €6.75 spent in Europe is on a Visa card. Almost 80% of Visa Europe's business is on debit cards and, in the year to December 2012, over €1 trillion (1.05tr) was spent on Visa debit cards. Annual online spending on Visa cards in Europe topped €200 billion (€212bn) for the first time in this period and now accounts for more than 20% of Visa Europe’s processed business.
Since 2004, Visa Europe has been independent of Visa Inc. and incorporated in the UK, with an exclusive, irrevocable and perpetual licence in Europe. Both companies work in partnership to enable global Visa payments. As a dedicated European payment system Visa Europe is able to respond quickly to the specific market needs of European banks and their customers - cardholders and retailers - and to meet the European Commission’s objective to create a true internal market for payments.
For more information, please visit www.visaeurope.com.