Lower prices and faster deliveries to fuel cross-border trade in the UK this Christmas

By

Barbara Santamaria

Published
Dec 11, 2017

Overseas consumers are expected to buy more Christmas presents from British retailers than ever before this Christmas, as they take advantage from better deals and faster shipment.

According to new research from VoucherCodes, cross-border trade in the UK will reach £1.4 billion this Christmas, up 57% on 2016 when sales were just £905 million.

Additionally, purchases made on UK sites by European, US and Canadian consumers will account for 33.3% of total European sales from overseas retailers this Christmas.

The survey of 50 major UK retailers and 1,000 British consumers revealed some of the reasons why overseas consumers are turning to British retailers for their Christmas shopping. In addition to lower prices and faster shipments, consumers are looking for better quality items, and sometimes British retailers offer merchandise which may not be readily available in other countries or online.

Many UK-based retail websites are also switching to local languages and payment systems as soon as IP addresses are recognised, making it easier for overseas consumers to purchase items.

“It’s great to see UK retailers benefitting from cross-border trade this festive season, a growth of over 50% is astonishing and welcome news in what has been an uncertain 18 months for retail,” said Paul Lewis, senior director of marketing at VoucherCodes.

“As we move into 2018, UK retailers will need to be even more aware of how their prices shape-up compared to their competitors overseas to ensure they remain competitive, retain their existing customer base, and attract new shoppers.”

Across the whole of Europe, Christmas cross-border trade is expected to rise by 36.2% to £4,300 billion in 2017.

Paul Lewis concluded: “It’s likely in years to come, especially with faster delivery options and fluctuating currencies, cross-border trade will be increasingly common, and shoppers will be able to locate whatever they need at the right price from various countries.”