Ecommerce Market Data and Ecommerce Benchmarks for the Baby & Child market

Ecommerce Data Commentary: October 2025 +9.60% YOY

Overall Performance

eCommerce sales on the IRP platform saw a 9.60% year-over-year (YOY) increase in October 2025 and continued to outperform the wider market. According to the BRC UK retail overall sales grew +1.6% in October and +0.1% for non-food sales. IRP's focus on profit - growth with controlled traffic spend - is putting merchants on the IRP in a strong position.

Noteworthy sector growth includes:

• Baby & Child: +55.67%
• Food & Drink: +47.05%

Strong conversion rates were observed in:

• Food & Drink: +37.94%
• Toys, Games & Collectables: +21.76%
• Pet Care: +16.39%

Economic Influences

October sales trends on IRP outpaced those of the wider UK economy with +9.60% YOY growth v +0.1% for UK non-food retail (reported by the BRC) and +1.6% YOY for UK retail in general. Helen Dickinson, Chief Executive of the British Retail Consortium, said: “October was a subdued month, with the weakest growth since May. Many delayed spending, waiting for Black Friday deals."

• Consumer Caution: Customers are holding off spending until Black Friday.
• Macroeconomic Pressures: Stubborn inflation and the up coming budget are weighing heavily on consumer sentiment. But opportunity remains for well prepared and agile merchants.

Key Challenges for Q4 2025:

• Ongoing cost pressures on SME’s continues to dampen business investment, employment and growth.
• The UK budget and expect tax rises are dampening the market
• Tough selling in international markets, especially the US market, is forcing merchants to look to new markets.

Opportunities for Growth

• International Sales: The end of the US De Minimus exception is creating duty and shipping issues that will continue for some time to come. But by watching traffic spend and focus on profit Merchants can help build a cash reserve for Q1 20026.

Cost and Conversion Trends

• Cost of Sales (COS): CPA% (percentage spent on marketing channels) reached 8.22%, marking a -2.37% YOY reduction. The CPA% reflects Merchants and Agency tight control on traffic costs.
• Conversion Rates: October 2025 fell YOY from 1.61% to 1.58% (-1.86%), highlighting increased price sensitivity and consumer belt tightening.

Positive Metrics

Despite market tightening, there are bright spots:

• Average Order Value (AOV): £127.52, +6.69% YOY.
• Average Sale Price per Item: +11.79% YOY.
• Mobile Channel Sales Share: 62.10%.
• International Sales: 45.70%

IRP’s Forecast:

October shows that the IRP Platform and Service Marketplace continue to significantly outperform both UK online retail and wider retail economy IRP continues to provide Merchants a way to beat the wider market. IRP's focus on profit - growth with controlled traffic spend - is putting merchants on the IRP in a strong position.