ING: Dutch ecommerce will grow 4%
This year, the turnover of online stores in the Netherlands is expected to grow 4 percent, compared to last year. In 2022, a decrease of 2 percent in turnover was measured, says Dutch bank ING. At the same time, for the first time in a decade, the amount of sales in retail is expected to decline 2 percent.
This is according to ING Research’s new outlook on Retail in the Netherlands. According to the study, the drop in sales in 2022 can be explained by the ending of lockdowns. As a result, part of the online spending from the year before was instead done in physical stores. This year, online turnover in the Netherlands is expected to grow again. Multichannel retailers’ sales are up 10 percent this year.
‘Ecommerce will continue to grow in the coming years, due to a shift to the online channel.’
According to ING Research, ecommerce in the Netherlands will continue to grow in the coming years, due to a further shift from physical to the online sales channel. Retailers are implementing a multichannel strategy more often, where the online product range is larger than in-store. In addition, staff shortages can impact service levels in physical stores.
Consumer spending less in non-food
For the first time in a decade, there is a decline in the amount of sales in the entire retail sector in the Netherlands. This is because consumers are buying less in non-food segments. Dutch consumers are currently buying less clothing, furniture and electronics than in previous years. However, in the personal care segment, there is no decline. The higher turnover in the food segment can be explained by higher prices.
Bankruptcies in 2023
According to the survey, there are now staff shortages in all segments of the retail industry in the Netherlands. This has put a brake on the growth of many stores, by closing branches or narrowing opening hours. Still, at 145, the amount of retail bankruptcies in the first half of this year was 20 percent below the same period in 2019.
‘Three-quarters of business closures in H1 of 2023 involved an online store.’
During the first half of 2023, there were more business closures (up 2.6 percent) than during the same period in 2019. Three-quarters of these involved online stores. This is due to the large increase in online stores during the corona pandemic. A large portion of these online stores generate minimal sales and are closing down now because of that.