The National Retail Federation (NRF) and Forrester Research, Inc. (Nasdaq: FORR), in conjunction with Greenfield Online, Inc., today announced the results of the latest NRF/Forrester Online Retail Index. According to the 10th survey in this monthly series, total spending of online sales increased from $4.2 billion in September to $4.4 billion in October. More than 16 million households shopped online in October, spending an average of $268 per person.
Categories that experienced a significant increase include consumer electronics and computer hardware. Online sales of consumer electronics jumped from $164 million in September to $246 million in October. Similarly, computer hardware increased from $315 million in September to $425 million in October.
“The 50% jump in consumer electronics from September may be partly due to clearances retailers held in October to make room for newer models that will be featured during the holiday season,” said Scott Silverman, vice president, Internet retailing at NRF. “We’ll be watching this category closely in the next two months to see how consumers use the online channel to purchase these products during the holiday season.”
Sales of videos and toys/videogames also grew significantly in October. Videos increased from $85 million in September to $121 million in October — a 42% increase. Toys/videogames grew to $203 million in October, from $157 million in September — a 29% increase.
“This considerable increase in toys/videogames was heavily influenced by the release of Sony’s PlayStation 2 and related accessories,” said David M. Cooperstein, research director at Forrester. “Some folks waited in line at their local mall, while others turned to the Net to get this hot product — further reinforcing the adoption of the Net as a viable shopping channel.”
About The Index
The NRF/Forrester Online Retail Index measures, on a monthly basis, the growth and seasonality of online shopping based on data collected from online shoppers. The Index is based on 5,000 responses during the first nine business days of the month from an online panel developed by Greenfield Online. The survey results for October were fielded from November 2, 2000, through November 10, 2000.
The monthly panel is weighted to Forrester Research’s Benchmark Panel, which surveyed nearly 90,000 US and Canadian members of a consumer mail panel developed by NPD Group, a market research firm. Data was weighted to demographically represent the North American population. The survey was fielded from late November 1999 to February 2000.
About The National Retail Federation
The National Retail Federation is the world’s largest retail trade association with membership that encompasses all retail formats and channels of distribution including department, specialty, discount, catalog, Internet, and independent stores. NRF members represent an industry that encompasses more than 1.4 million US retail establishments, employs more than 20 million people — about 1 in 5 American workers — and registered 1999 sales of $3.0 trillion. NRF’s international members operate stores in more than 50 nations. In its role as the retail industry’s umbrella group, NRF also represents 32 national and 50 state associations in the US as well as 36 international associations representing retailers abroad. The Index can be found on the National Retail Federation Web site at www.nrf.com.
About Greenfield Online
Greenfield Online, Inc. is a totally Internet-enabled, full-service marketing research provider. The company’s core business is to conduct custom consumer and business-to-business online studies and focus groups that are faster, better, and richer than traditional marketing research. The company also has a division, QuickTakeSM, an application service provider that gives users access to powerful online and wireless surveying tools. Incorporated in 1995, Greenfield Online is headquartered in Wilton, Conn., with offices in San Francisco and Mexico City and regional representatives in seven other U.S. cities. For additional information about Greenfield Online and its services, please call Gail Janensch at +1 203/846-5720 or visitthese company Web sites — www.greenfield.com and www.quicktake.com.