Online retail sales stop growing in February

From NAB, online sales:

In the year to February 2014, Australians spent $15 billion on online retail. This level is equivalent to 6.5% of spending with traditional bricks & mortar retailers (excluding cafés, restaurants and takeaway food to create a like-for-like comparison) in the year to January.

• The NAB Online Retail Sales Index fell modestly in February – to a seasonally adjusted 239 points (from 242 points in January).
• Online retail sales were virtually flat in February. In seasonally adjusted three month moving average terms online sales expanded 0.1% (from a 1.1% increase in January). The flat result for February comes after the relatively strong November to January period.
• Sales growth for traditional bricks & mortar retail has improved in recent months, maintaining momentum of about +0.7%, in January (seasonally adjusted, 3 month moving average basis).
• The slowing growth trend for online retail sales reflects almost uniform slowing in conditions at the category level. In year-on-year terms, the online index grew 8%, a slowdown on the January result (+11.4%). At 9%(YoY), Department & Variety Store growth slowed to below 10 % for the first time. Media (+11%) has continued to trend downward. Groceries & Liquor was particularly strong (+19%). Two categories to go into reverse were Daily Deals (-3%) and Personal & Recreational Goods (-10%) continuing recent weakness for these.

Zero year on year growth, from one percent in January, not very encouraging for tomorrow’s bricks and mortar number. The dollar was off its lows then but we were entering the unemployment shock around car makers and others. It was also when consumer confidence fell away. Tomorrow’s number will be interesting.