Analysts and e-commerce leaders predicted a quiet online holiday shopping season this year, with sales in the first three weeks of November essentially flat in more than a year due to a weaker economy, inflation and more people getting back into store shopping again in the wake of the Covid-19 pandemic. 19. But looking back at Thanksgiving, the first big day of the holiday, the numbers seem to be coming in stronger than expected. Adobe Analytics published numbers indicating that $5.29 billion was spent online on Thanksgiving Thursday. That’s up 2.9% from last year, and ahead of the $5.1 billion Adobe initially said it was expecting today.
Mobile devices continue to play an increasing role in how people shop. About 55% of online sales were on mobile devices yesterday, up 8.3% from a year ago.
“Mobile shopping has struggled to grow for many years, as consumers find the experience lacking in experience compared to desktops,” Vivek Pandya, senior analyst at Adobe Digital Insights, said in a statement. “This year’s Thanksgiving has become a turning point, with smartphones driving real growth and highlighting just how much better these experiences are.”
Interestingly, Salesforce has even more buoyant numbers: It notes from its calculations, based on 1.5 billion shoppers, that online sales, looking around the world, grew 1% on Thanksgiving Day to $31 billion, while they were up on The United States specifically increased by 9%, to $7.5 billion. . Salesforce also said that 78% of sales traffic comes from mobile devices. She said the average order values were $105 worldwide and $120 on US sales.
They may have different numbers, but they’re both growing, so the bigger question may actually be whether the spike in activity seen on Thanksgiving will continue through the rest of Cyber Week — which today includes Black Friday, Cyber Monday, and the weekend in between. – And the rest of the days and weeks leading up to the new year. Overall, Adobe has projected that Cyber Week will generate $34.8 billion in online spending this year, up 2.8% from last year when the week brought in $33.9 billion in sales.
2021 Internet Week is down 1.4% compared to 2020, so this is a turnaround.
As a point of comparison to these numbers, the National Retail Federation expects holiday sales growth of 6% to 8%, while another analytics group, Digital Commerce 360, expects growth of 6.1% for the period.
Whatever the case, sales may not continue completely or even in the coming days. Adobe has projected sales for today – the famous Black Friday – to reach $9 billion, up just 1% from 2021 figures.
Adobe says it analyzes about 1 trillion US retail site visits, tracking sales for about 100 million SKUs and 18 product categories. Its analytics will include anonymized data from some of its customers: it says it’s used by about 85% of the largest online retailers in the US So far, she said, about $77.74 billion has been spent online since November 1.
The holiday shopping season is an important period to keep track of for several reasons. First, it’s usually the retailer’s most profitable selling period, the period when it can make or break its entire year. (This is why Amazon’s recent earnings, where it provided discounted sales guidance and warned against lower-than-expected holiday spending, caused its stock to drop nearly 20%.)
Because of this huge importance, the combined e-commerce holiday numbers can be the driving force for the e-commerce market as a whole.
But if growth is what we’re after, there are some signs of a storm ahead. Adobe found that the first three weeks of November saw flat online sales of $64.59 billion, up just 0.1% from 2021.
What holiday shopping looks like has changed dramatically with the advent of e-commerce. Online shopping has extended the days and hours that people shop – the day after Thanksgiving, Black Friday, used to mark the “first day” of the holiday shopping season, but that came out years ago with sales starting on Thursdays, and people using the day Leave work to get clicked. Now, both large and small retailers are leaning towards an early start to holiday shopping as a way to try to make more sales in a tighter market. And they’re offering more ways to pay: Buy-now-pay-later rose 1.3% in terms of sales and 0.7% in terms of orders (indicating more of them being used for bigger-ticket items).
This is against the backdrop of retailers becoming increasingly aggressive in engaging their audience. The US National Retail Federation said it expects 166.3 million consumers to shop over the long weekend.
“While there is a lot of speculation about the impact of inflation on consumer behavior, our data tells us that Thanksgiving weekend will see strong in-store traffic with a record number of shoppers taking advantage,” NRF President and CEO Matthew Shay said in a statement. of value prices. . “We are optimistic that retail sales will remain strong in the coming weeks, and retailers are ready to meet consumers but want to shop great products at the prices they want to pay.”
Adobe notes that the biggest discounts you’ll see online today are in categories like toys (up to 34% off the listed price), electronics (27%), and computers (18%). Squishmallows, Roblox, Paw Patrol, Hot Wheels, Cocomelon, and LOL Surprise Dolls are all selling well.
We will post further updates on sales figures as they become available.