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27 Mar 2025

Your Month in Marketing and eCommerce: Consumer Confidence Trends, eCommerce Growth in Romania, and the Future of AI and Retail

Your Month in Marketing and eCommerce: Consumer Confidence Trends, eCommerce Growth in Romania, and the Future of AI and Retail

Bite-size updates on what happened in marketing and eCommerce this month, to keep you ahead of the curve and inform your campaigns.

 

Consumer Confidence Shows Modest Rise Despite Personal Finance Concerns 

UK consumer confidence rose marginally in March, with GfK's Consumer Confidence Barometer recording a one-point increase to -19 in its Overall Index Score. While sentiment regarding the general economic situation improved—up two points to -42 for the past year and -29 for the outlook—attitudes toward personal finances declined, with consumers feeling less optimistic about their financial situation than in February.  

GfK's consumer insights director Neil Bellamy emphasised that the UK economy is far from showing "robust health," noting that "daily living is still an expensive experience and household budgets remain stretched." The Major Purchase Index, which measures consumers' willingness to make significant purchases, remained stable at -17, though this represents a 10-point improvement from March 2024. Meanwhile, the Savings Index, which is not included in the Overall Index Score calculation, dropped significantly by five points to +25, suggesting decreased willingness to save despite ongoing economic concerns. 

 

Romanian eCommerce Sees Continued Double-Digit Growth 

Romania's online spending reached €11.7 billion in 2024, with €7.7 billion spent on products, marking a 10% increase according to data from Gala Premiilor eCommerce (GPeC). The eCommerce sector maintains strong momentum, with product spending consistently growing over 10% annually since 2022. Market leader eMAG recorded 14% growth in Romania and plans further investments in AI and staffing, while Turkish eCommerce giant Trendyol is expanding with a new regional logistics centre near Bucharest to serve Southeastern Europe. 

 

Ann Summers Expands Middle East Presence Through Liwa Partnership 

Lingerie retailer Ann Summers is strengthening its Middle East footprint through a strategic franchise agreement with Liwa Trading Enterprises, a major retail group in the region. Following successful trial shop-in-shops that began in Dubai in August 2024 and expanded to 10 additional locations, the partnership will bring Ann Summers products to six Gulf countries including the UAE, Saudi Arabia, and Qatar.  

The first standalone store is scheduled to open in July 2025, with plans for an enhanced online presence through Knickerbox.ae later this year. This expansion targets the Gulf's growing lingerie market, valued at $1.7 billion in 2024, as part of Ann Summers' broader international growth strategy. 

 

UK Technology Secretary Seeks Stronger US-UK AI Collaboration 

UK Technology Secretary Peter Kyle is meeting with US officials to strengthen AI collaboration and investment opportunities between the two nations. During his visit, Kyle will outline how the UK is integrating AI into economic policy and developing "AI Growth Zones" to transform abandoned industrial sites into tech hubs. The UK's AI sector, currently valued at £70.9 billion and projected to reach £7713 billion by 2035, is attracting significant international interest.  

Kyle plans to meet with major US tech companies including OpenAI, Anthropic, NVIDIA, and Vantage to encourage UK expansion, building on recent investments such as Vantage Data Centers' £12 billion commitment that will create approximately 11,500 jobs. These discussions align with a broader initiative between the UK Prime Minister and US President to develop a new economic agreement focused on advanced technologies. 

 

Boots Extends Advantage Card Points Program to Food Delivery Apps 

Boots has announced that customers can now earn Advantage Card points when ordering through Uber Eats and Deliveroo. Shoppers will receive one point for every £1 spent on items purchased through these delivery apps by entering their Advantage Card number at checkout, though points won't be earned on delivery or service fees.  

The expansion builds on Boots' existing partnerships with both delivery platforms, which began in 2021 with Deliveroo and 2022 with Uber Eats. The news comes as Co-op extends its three-year partnership with Uber Eats, increasing its presence to over 1,300 stores since their collaboration started in 2022. 

 

Fashion Struggles While Beauty Thrives in 2025 eCommerce Landscape 

Beauty continues to outperform as one of the top eCommerce subcategories tracked by IMRG in early 2025, while Clothing struggles to gain momentum. The Beauty sector's success stems from its social-first approach, pioneering adoption of TikTok Shop, and consumers' continued willingness to purchase beauty products even during economic downturns. Meanwhile, Fashion faces challenges from the growing preloved/second hand market and increasing return fees that discourage the "try-before-you-buy" mindset.  

Industry experts suggest that Fashion retailers can learn from Beauty's effective loyalty programs and social commerce strategies, while Beauty could benefit from Fashion's focus on sustainability and augmented reality experiences. Retailers managing both categories are advised to implement different merchandising strategies, leverage cross-selling opportunities, and prioritise the customer delivery experience to drive growth. 

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