Australia's major listed retailers are still playing catch-up in online retailing compared with smaller peers, despite investing hundreds of millions of dollars into improving e-commerce systems. 
Online sales at Australia's 10 largest listed retailers represent on average 5.9 per cent of total sales, well below national online retail spending of almost 11 per cent and average global online sales 'penetration' of 11 per cent, a Citigroup report says.
The figures are based on an analysis of 110 retailers around the world, including supermarkets, department stores, clothing retailers and consumer electronics chains.
Craig Woolford, Citigroup ANZ's head of research, said the study highlights the low level of online penetration for large listed Australian retailers and suggested consumers were bypassing the major players when shopping online.
"Most ASX-listed retailers (have online sales ) of 5 per cent or less compared with a global average at 11 per cent of sales," the report says. "However, Australian retail spend online is near 11 per cent, reflecting consumers bypassing ASX-listed retailers."
Last year, online retailing represented 3 per cent of sales at Woolworths, one of the first food retailers to establish online grocery and liquor shopping, and 2 per cent at Wesfarmers' retail businesses. This compared with 7 per cent for UK food retailer Tesco, 5 per cent for Carrefour, 4 per cent at Ahold and 3 per cent at Walmart.
???"While online sales in grocery are taking share in Australia, we doubt the sales are incremental and are likely cannibalising bricks and mortar stores," Citigroup said.
???Australian department stores have lifted their game in recent years, investing hundreds of millions of dollars into new e-commerce platforms, fulfilment systems and click and collect facilities. Yet online sales represented just 2.8 per cent of sales at Myer in 2015 and 3 per cent at David Jones, compared with 19 per cent at Macy's, 16 per cent at Nordstrom, 15 per cent at Marks and Spencer and 14 per cent at Debenhams.
In clothing and accessories, online penetration in Australia averages 6 per cent, in line with that at major global chains such as H&M and Zara, but penetration rates vary widely.
For example, Oroton generated 10 per cent of sales online last year and Specialty Fashion 9 per cent, but Premier Investments' online sales were around 3 per cent and footwear retailer RCG Group 1 per cent, according to the Citigroup report.
In consumer electronics and hardware, online penetration at JB Hi-Fi (2 per cent), Harvey Norman (1 per cent) and Bunnings (1 per cent) was well below that at offshore chains such as Dixon's Carphone (23 per cent), Best Buy (11 per cent), Home Depot (5 per cent) and Kingfisher (3 per cent).
More to come.