Malta Post: Parcels up 52% in online Christmas shopping

Books, DVDs and CDs topping the list of the most popular items, according to Maltapost.

Books, DVDs and CDs topping the list of the most popular items, according to Maltapost.

It comes as no surprise because some items can be bought online for about half the price in Malta, according to a simple analysis by The Times. Better still, most online shops include free packaging, shipping and home delivery.

As shoppers rushed to buy their last gifts with ever-shrinking budgets this week, they may be frustrated to realise how much they could have saved if they shopped online… It could be a New Year resolution for the next festive season to plan ahead next Christmas.

But according to a salesman of video games and electronics, the key to remaining competitive was to provide a service that online shops could not give.

He said that, due to economies of scale and the sales service, the prices have to be higher.

Electronics and gadgets, like video games, consoles and Mp3 players are also much cheaper online but many online providers do not ship such items to Malta.

However, thanks to a large number of Maltese living abroad who return home at this time of year, many smart shoppers have shipped the items to relatives in the UK or elsewhere, to get the items delivered for free. This way, as long as the country in question is within the EU, they also save on VAT and duty costs and get through Customs easily.

Another trend that is developing is shopping for clothes online from websites like Asos.com.

The director general of the Chamber for Small and Medium Enterprises – GRTU, Vince Farrugia recently said that, in Malta, online shopping increased in popularity – especially from foreign sites – creating more competition for local shop owners.

The trend has turned the fortunes of the postal service. Maltapost official Pierre Montebello says that, despite a sharp drop in traditional mail, the postal service now receives all kinds of packages from abroad including tyres, spare parts, TVs and computer equipment: “Once we even received the windscreen of a truck.”

With a market of millions of customers, it is no surprise that big websites can afford lower prices. In particular, buying from the UK has become even more cost-effective due to the recession and drop in VAT. An e-commerce study by Ernst & Young launched last July showed that 58% of the Maltese who used the internet shopped online, with the figure rising from 35% in September 2006.

56% had said the prices were better, 36% said it was more convenient for them to do so and 27% pointed out they bought products that were not available locally.

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