New online consumer spending data suggests that far from curtailing their clothing purchases during the coronavirus outbreak, US consumers are focusing their e-commerce shopping on apparel, footwear and accessories.
According to data from global payments provider Klarna, week-over-week for the seven days ended 28 March, the apparel, footwear and accessories (AFA) category’s share of all Klarna-enabled purchases increased by 18% among Generation Zers (ages 18-23). Shoppers in this age group grew their share of spend from 44% in the week ended 21 March to 52% in the week ended 28 March.
Amongst millennials (ages 24-39), meanwhile, the AFA category’s share of all Klarna-enabled purchases increased by 13% for the week ended 28 March. They increased their share of spend from 32% to 36% week-on-week.
Amongst Generation Xers, the AFA category’s share of purchases increased by 4% for the week ended 28 March. This category accounted for 26% of the volume of Gen Xers’ purchases in the week ended 21 March, with that share growing to 27% in the week ended 28 March.
Klarna, which is used by 7m shoppers and which has 4,000 retail partners in the US, analysed all the transactions made through its retail partners as well as through the Klarna app to identify which product categories Gen Zers, millennials and Gen Xers (ages 40-55) are shopping for most often using Klarna’s flexible payment options.
“We’ve found that US consumers are really focusing their e-commerce shopping on clothing, shoes and accessories as they weather this difficult period,” said Klarna CEO Sebastian Siemiatkowski. “For retailers and brands, the data may indicate that shoppers are choosing to buy comfortable items to work from home in as well as workout wear that will get them through the next several weeks of exercising in their living rooms. Consumers are also taking advantage of payment options that give them the flexibility and control to buy the things they need and that will help them get through ‘stay-at-home’ periods.”
The data also showed the home and garden category’s share of all Klarna-enabled purchases also grew across all three age groups. The category’s volume share increased slightly among Gen Zers and millennials and by 9% among Gen Xers week-over-week for the seven days ended 28 March.
Sales volumes in three other major categories – leisure, sport and hobby; marketplace; and intangible products (which includes event tickets and travel services) – all fell week-over-week among the three demographic groups.
Gen Xers were the only demographic group among the three to increase their share of spending on electronics week-over-week, with category volumes up 11%.