Harsh news from comScore: October’s online retail sales grew 1 percent over October 2007, the lowest monthly growth since the firm began tracking the sector in 2001.
From the release:
“The overall softness in online retail spending was precipitated by curtailed spending across mid to lower income segments, with households earning less than $50,000 exhibiting negative spending growth compared to a year ago.”
Now didn’t comScore just tell us that lower-income people were buying iPhones like crazy? Maybe they don’t have anything left.
Rich folks were still spending in late summer, comScore said: growth in the over $100,000 demographic was up 14 percent from August through October, versus 1 percent growth in the $50k to $99k segment that accounts for most online retail and minus 3 percent in the under $50k set.
But everything changed in October so we’ll have to wait for the next month’s report for a clearer picture. I wonder if early holiday sales will be enough to keep growth in positive territory.
The montly data excludes automotive, auction, corporate and travel purchases.