Father's Day boosts US online spending! Sales of multiple categories surged in June!

According to the "E-commerce Pulse Report for June 2023" released by Signifyd, a fraud prevention solution provider, driven by Father's Day, U.S. e-commerce sales in June increased by 10% year-on-year, the highest monthly increase since 2023 and the first time to reach double digits. Strong online sales on Father's Day stimulated the U.S.

Data from Signifyd shows that the sales volume in June 2023 was led by electronics, up 7% year-on-year. It was followed by sporting goods, up 6% year-on-year. Household goods, which has been in negative online sales growth since 2022, also grew by 2% in June.

In June, sales growth in clothing, accessories and footwear hit a new low for the year, but still increased by 3% over the same period last year. The arrival of Father's Day also boosted the growth of sub-segments such as fashion (12%) and luggage (40%).

According to the analysis of Signifyd, online footwear sales have been strong in 2023, and although the performance in June was down from May, it was still up 5% from the same period last year. It is worth noting that online jewelry sales in June fell sharply by 17% year-on-year.

Inflation drives up online average order value

Data shows that the growth rate of online average order value (AOV) continued to hover in the low single digits in June 2023, an increase of 3% year-on-year. At the same time, the number of transactions increased by 1% and the number of products decreased by 12%, which means that inflation is the main reason for the increase in online average order value.

In the apparel sector, AOV in June increased by 2% compared to the same period last year, but the number of transactions and products decreased significantly by 15% and 21%, respectively. In the health and beauty sector, AOV increased by 10%, but the number of transactions and products decreased by 9% and 10%, respectively.

Interestingly, online sales growth for sporting goods showed a completely different trend, with consumers spending less money to buy more goods. Data from Signifyd showed that AOV for sporting goods fell 13% year-over-year for the second consecutive month, but transaction volume increased 23% and the number of products increased 7%.

Other findings

• Buy now, pay later (BNPL) sales fell sharply by 16% year-on-year.

• Gift card sales in June were flat from the previous month, but up 154% from the same period last year.

• Fraudulent bot attacks overall increased 239% year-over-year; recurring account fraud attempts (where scammers try to take over dormant accounts) increased 281%; and the total number of spoofing attempts, which attempt to mask the device or IP address from which an order originated, increased 219% year-over-year.

• Consumer abuse (i.e., legitimate customers falsely claiming that an item was not received, was damaged, or was significantly different from the description) spiked in May 2023 but fell 7% year-over-year in June, with most verticals experiencing declines or negative growth.

Editor ✎ Nicole/

Disclaimer: This article is copyrighted and may not be reproduced without permission.