Online fashion revenues rise 6% YoY in December, True Fit finds
While order volumes of clothing fell by 7% year-on-year in December, those who did place fashion orders were spending more during the Golden Quarter
Online fashion revenues rose by 6% year-on-year in December 2023 compared with the same time last year, buoying the overall “muted” Golden Quarter fashion sales, True Fit data has revealed.
True Fit’s Fashion Genome, which pulls together the preferences of 82 million active shoppers and over 20,000 brands, showed that while demand fell marginally year-on-year in December, overall demand during peak trading was bolstered by Black Friday and Cyber Monday – 23 November to 27 November.
While order volumes of clothing fell by 7% year-on-year in December, those who did place fashion orders were spending more during the Golden Quarter. Fashion revenues rose 10% in October, 12% in November and 6% in December, with the Average Order Value (AOV) also growing 11% compared with 2022 in Q4.
According to True Fit, discounting events such as Black Friday played a key role in generating demand during peak trading, as data showed order volumes on the week of Black Friday rose by 14% year-on-year.
Jessica Arredondo Murphy, co-founder and COO of True Fit, said: “Discounting will, of course, remain a key lever in securing share of wallet while household spending remains squeezed. With a muted economic outlook, this will continue past peak trading and into 2024, making margin protection a key consideration for retailers in 2024.
“With our research suggesting the average UK shopper returns almost a quarter of the fashion items they buy, retailers will need to look towards strategies that protect margin to drive growth. This will rely not just on limiting unnecessary fit-related returns, but also on leveraging strategies to retain customers acquired during discounting periods and sales events, turning first time shoppers who have bought at discounted prices into repeat, full-price customers in 2024.”