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Mobile Sales Surge 60 Percent in IBM Online Retail Index for the Third Quarter, Largest YoY Increase since 4Q 2012

October 9, 2013 No Comments


Third quarter online mobile sales continue to rise according to the IBM Retail Online Index, part of the cloud-based, IBM Digital Analytics Benchmark, as mobile percentage of online sales increased more than 60 percent year-over-year, the largest YoY increase since the fourth quarter of 2012. Led by big gains in Home Goods and Department Stores, mobile traffic for U.S. Retail overall, reached almost 32 percent in the third quarter, up more than 51 percent from the same period in 2012, while online retail sales overall growing close to 10 percent.

Key findings of the IBM Online Retail Index include:

Overall online retail sales continue to grow, up close to 10 percent year-over-year (YoY)

Mobile percentage of sales were near 14 percent, a 60 percent increase over 3Q 2012, with the Apple iPhone generating more online traffic than any other mobile device;

Home Goods sales increased 48 percent over YoY, with a 17 percent increase over 2Q 2013, as consumers spend money on long lasting items like appliances and home improvement items.

Consumers took a reprieve from colder weather by logging onto their favorite Department Store websites to stock up on warmer fall apparel and seasonal merchandise. Department Store sales         increased more than 45 percent YoY, up 15 percent over 2Q 2013.

Specific highlights from IBM’s 3Q analysis include:

– Housing Improvement Projects Fuels Home Goods Online Spending: As the housing market continues to recover and homeowners prepare for the winter season, home improvement projects spurred a 48 percent increase in Home Goods sales over the same period in 2012.  Average order value and items per order were also both slightly up, seeing increases of 5 percent and 6 percent respectively. On average, consumers spent $275.96 and purchased more than four items per order.

– Fall Weather and Seasonal Shopping Fuel Department Store Growth: As retailers stocked their shelves with warmer clothing and fall-inspired merchandise, consumers opened their mobile wallets. Overall, Department Store online sales were up 46 percent over this time last year, with mobile sales up almost 60 percent for the same period. Mobile percentage of sales hit close to 22 percent, up close to 60 percent over 2012, with the majority of mobile consumers looking to their iPhones as their shopping device of choice.

– Retailers Make Mobile a Priority Ahead of the Holiday Shopping Frenzy:  As online retailers look to take advantage of the mobile opportunity this holiday season, the number of consumers using a mobile device to make a purchases reached almost 14 percent – up more than 60 percent compared to the same period last year – in the third a quarter. Apple continues to dominate the mobile device experience, with the iPhone generating more traffic than any other mobile device at close to 12 percent of retail traffic – a 53 percent increase over Q3 2012. The iPad closely follows, generating 10.35 percent of traffic, with Android devices generating 9.51 percent. However, Android mobile sales grew the most with a 74 percent jump YoY.


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