Traditional Retailers Are Gaining Ground in Online Sales of High Ticket Tech Items, Reports NPD’s Checkout

Port Washington, NY, October 2, 2018 –According to NPD’s Checkout E-commerce information, 29 percent of U.S. online consumer electronics dollar sales were made through traditional retailer websites for the 12 months ending June 2018. During this timeframe, they gained online dollar share primarily in high average sales price (ASP) segments, spanning products such as TVs, PCs, tablets, and printers.

Traditional retailer websites made up nearly half (46 percent) of online U.S. CE dollar sales for these higher ASP items, up three percentage points from the year prior. For lower ASP items they make up only 13 percent of dollar sales, as pure play online retailers still dominate this more ‘grab and go’ segment.

Given their success in selling higher ASP segments, average online spend per purchase was nearly four times higher on traditional retailer websites ($233/purchase) than through pure play online retailers ($60/purchase). However, pure play online retailers are seeing an average of five additional annual purchases, when compared to traditional retailer websites, providing more occasions to sell.

“Across the retail landscape traditional retailers are finding success in bringing what they do well in store to the online channel. They are winning online in high ASP segments by leveraging their merchandising expertise and the strong product selections they have honed in store, on their e-commerce platforms to compete with pure play and DTC,” said Stephen Baker, vice president, industry advisor for The NPD Group. “This approach is clearly paying off in the CE industry, as evidenced by growing online sales across a variety of categories.”


Source: The NPD Group, Checkout E-commerce, July 2017- June 2018 vs. July 2016- June 2017
*Traditional retailer websites are represented by brick-and-mortar retailers that sell consumer electronics both in-store and online

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