Mobile shopping sales event Click Frenzy Mayhem begins tomorrow evening. Despite slowing online retail growth it is expected to be their largest event ever. Alex Dalland reports.
The launch of new online sale Click Frenzy Mayhem is expected to break records in Australia, with over 200 retailers taking part in the giant 24-hour sale. But the event will have to compete with slowing growth in the online retail market, with growth at just 8% this year compared to 12.5% in the year leading to last March.
While around 75 per cent of online retail spending occurs on local Australian websites, a falling Australian Dollar has meant slowed growth in Australians shopping overseas. The overall growth rate of the online retail segment has also slowed compared to double-digit growth in 2010 when the Australian Dollar was at parity with the US Dollar.
However, data from NAB’s Online Retail Sales Index still suggests that online retail is the fastest growing segment of the retail market, with a yearly growth rate almost double that of the traditional retail market. The decision by the Reserve Bank to lower interest rates to a historic low of 2 per cent a fortnight ago may also have flow-on effects for the online retail sector.
Click Frenzy launched in 2012 to widespread interest, with the site crashing in the first few hours. Click Frenzy Mayhem has now launched as a mid-year sales event to complement the original, giving retailers a chance to provide massive discounts of up to 90% on items in the lead up to the end of the financial year. Click Frenzy Mayhem will begin tomorrow at 7pm AEST.