Research from AfterPay indicates that Dutch shoppers will reduce their overall purchases in July, in both online and offline purchases. Dutch consumers say that they will continue to shift purchases to online channels this month.
Dutch online purchases picked up to +40% in the second half of June, when compared to early March, after a period of stabilized and even decreased growth in May. The Dutch society has started to open up again. However, the return to brick-and-mortar stores is not happening very fast. Only 8% of Dutch consumers say they shopped more in physical stores in June. 24% say that they shopped more online.
Financial situations have become more stressed
Research from AfterPay shows that 16% of Dutch online shoppers say that their financial situation has become more stressed. However, 9% say that their financial situation has improved in June. The most important reason for fewer purchases in the need to save money; especially among younger age groups. Secondary motivations are the intention to change lifestyle by reducing overall consumption. Third tier motivations include the risk of becoming unemployed, as well as wanting to pay off mortgages and loans.
Fashion is the leading category
In the Netherlands, the leading category in acquiring new consumers is fashion. In the second half of March, 18% of Dutch shoppers made at least one purchase in online fashion. This share has grown to 28% by the second half of June.
Purchases will be made online
Dutch consumers project that they will make more purchases online. If consumers in the Netherlands act on their intentions, it is expected that e-commerce growth will further amplify in July. This growth is driven by an accelerated shift of purchases from brick-and-mortar stores to online channels. AfterPay predicts that e-commerce growth will be driven by the younger segments, with a mid- to high income.
Dutch e-commerce growth
AfterPay sees a rapid increase in e-commerce purchases up until the first half of May, with e-commerce up +51% in the Netherlands compared to pre-COVID-19 times. During the first half of June, e-commerce growth decreases. However, it now seems that e-commerce increased again during Mid-June. The share of Heavy Shoppers (having made five or more online purchases during the last two weeks) has almost doubled in the Netherlands. This percentage went from 7% before COVID-19 to 13% by the second half of June. Heavy Shoppers are a relatively small but critical segment. They represent only 13% of Dutch online shoppers, but they stand for 48% of all online purchases.