Report Summary

Period covered: 5 April – 2 May 2026

3 minute read

Note: This report summary is one or two months behind the current month as standard reporting practice. The content is indicative only and incomplete with certain data undisclosed. Become a member to access this data or take out a free 30 day membership trial now.

Online performance

Online retail sales softened in April, rising by xx% year-on-year (value, non-seasonally adjusted), down from xx% growth in March and below the xx% rise recorded a year earlier.

The headline deceleration was driven by the timing of Easter which fell within the March trading period this year but April in 2025, pulling forward seasonal food, gifting and spring purchases.

A combined March/April view gives a better indication of underlying momentum with online retail sales rising xx% across the two months.

Key drivers

Easter timing dominated April’s online picture, albeit it did so unevenly across categories. March had already absorbed much of the seasonal uplift in Easter food, gifting and spring purchasing, leaving April facing a difficult comparison against a stronger Easter period in 2025.

Pure online retailers continued to outperform with Non-Store Retailing growth rising by xx% YoY significantly exceeded the xx% increase recorded by multichannel counterparts, an eighth consecutive month of stronger growth.

The gap is being driven by differences in operating models. Online-only retailers tend to react faster to changes in consumer demand, price competitively and offer broader assortment through third-party sellers.

However, leading multichannel retailers continue to strengthen their digital capabilities, helping narrow the performance gap. Next reported strong online momentum, supported by marketplace expansion and international digital growth, with third-party brands accounting for a growing share of UK online sales.

Kingfisher maintained digital momentum through app-led engagement, marketplace growth and rapid fulfilment services, while Dunelm expanded app engagement and digital penetration as consumers increasingly blended browsing, click-and-collect and home delivery.

Price conscious behaviour became more pronounced during the month with consumers using online channels to compare prices, wait for promotions and delay larger purchases. This was particularly evident in discretionary categories, where consumers remained willing to buy, but not necessarily immediately.

Macroeconomic backdrop

The economic backdrop became more challenging as renewed pressure on household budgets coincided with fading expectations for lower borrowing costs. Rising fuel and energy prices linked to the Middle East conflict reignited inflation concerns, limiting the financial relief many consumers had expected.

Inflation expectations moved higher, driven by energy price pressures, increasing strain on essentials budgets and strengthening value-seeking behaviour.

Expectations for interest rate cuts also receded as the Bank of England maintained a cautious stance amid concerns over persistent inflation.

Higher borrowing costs continue to weigh on confidence in larger purchases, with households becoming more defensive and more focused on saving.

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Proportion of online retail sales by category (Period aligned to ONS trading calendar – 5 April – 2 May 2026)