Cyber Monday online sales drop 1.4% from last year to $10.7 billion, falling for the first time ever

Amazon.com Inc. packages are in front of a FedEx Corp delivery truck. At New York.

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Consumers logged on Monday and spent $ 10.7 billion, down 1.4% from levels a year ago, according to data released Tuesday by Adobe Analytics.

This year’s tally marks the first time Adobe has seen spending slack on big shopping days. The company began reporting on e-commerce in 2012, and it analyzes more than 1,000 billion visits to retailer websites.

Despite the slowdown, Adobe expects the entire holiday season to see record ecommerce activity, with shoppers spreading their dollars out over several days.

So far, from November 1 to Cyber ​​Monday, U.S. consumers have spent $ 109.8 billion online, an increase of 11.9% year-over-year, Adobe said. And on 22 of those days, consumers have purchased more than $ 3 billion in merchandise, another major new milestone, he said.

Adobe predicts digital sales from Nov. 1 to Dec. 31 will hit $ 207 billion, which would represent record gains of 10%.

Last Cyber ​​Monday, retailers hit $ 10.8 billion in web sales as more people stayed home and avoided shopping at retail stores due to the ongoing coronavirus pandemic. It is a record day for online shopping in the United States

The slight deceleration in online spending follows a similar pattern that occurred on Thanksgiving Day and Black Friday this year, as shoppers seemed to have spread their dollars over several days rather than cutting back on “Cyber” shopping. Week “. Some of this behavior has been encouraged by retailers, including e-commerce giant Amazon, which have been touting Black Friday-style deals since October.

Retailers recorded $ 8.9 billion in online sales on Black Friday, down from the record high of around $ 9 billion spent on the Friday after Thanksgiving a year earlier, Adobe said. And on Thanksgiving Day, consumers spent $ 5.1 billion on the Internet, a stable level from levels a year earlier.

Stores were also slightly less crowded on key shopping days this year compared to pre-pandemic times, as retailers gave consumers less reason to queue outside the mall in the wee hours of the morning. Shopper traffic on Black Friday was up 47.5% from last year’s levels, but was still down 28.3% from 2019, according to separate data from Sensormatic Solutions. Many retailers, including Walmart and Target, also closed their doors on Thanksgiving this year.

The first agreements boosted sales

“With the first October offers, consumers weren’t expecting discounts on big shopping days like Cyber ​​Monday and Black Friday,” said Taylor Schreiner, director of Adobe Digital Insights.

Persistent concerns about bottlenecks in the global supply chain and fears of finding goods out of stock is another factor helping to give shoppers a head start on their gift shopping this year.

On Cyber ​​Monday, Adobe found that the prevalence of out-of-stock messages on the internet increased by 8% from the previous week. So far in November, out-of-stock messages on retailer websites have risen 169% from pre-pandemic levels, he said. And shoppers find items out of stock 258% more often than two holidays, Adobe said.

Discounts have also been lower compared to past vacations, which could give consumers less reason to log in and search for deals or discourage them from spending.

Discount levels for electronics hit 12% off on Cyber ​​Monday, down from 27% off a year earlier. Clothing is down 18%, compared to 20% a year earlier. And devices were only discounted around 8%, up from 20% in 2020.

Inflation on everything from fuel to raw materials leads some companies to pass a fraction of these costs on to consumers. Adobe said the final price of consumer shopping carts on Cyber ​​Monday was up 13.9% year-over-year. This was also in part due to more buyers buying more expensive items, such as furniture, he said.

The National Retail Federation, the leading trade group in the retail industry, coined the term “Cyber ​​Monday” in 2005 after noticing an increase in the number of people shopping online on the Monday after Thanksgiving.

Retail group backs forecast

The NRF estimates that US retail sales in November and December will increase from a record 8.5% to 10.5% year-on-year, to $ 859 billion. He reiterated this prospect on Tuesday during a call with reporters. Over the past five years, the average increase was 4.4%, the NRF said.

NRF CEO Matt Shay acknowledged the unusual dynamics of this holiday season during a call with reporters. Among them, he said people bought many gifts in October due to concerns about stockouts amid supply chain challenges. And news of the omicron variant of the coronavirus over Thanksgiving shopping weekend has introduced some uncertainty about how consumers will shop and what they can buy.

The number of shoppers during the extended Thanksgiving weekend, which runs from Thursday to Cyber ​​Monday, has declined from last year and 2019. Almost 180 million Americans have shopped during the five-day public holiday weekend, up from around 186 million buyers in 2020 and around 190 million in 2019.

Average spending also fell, with Thanksgiving weekend shoppers spending an average of $ 301.27 for holiday-related purchases, down from $ 311.75 in 2020 and $ 361.90 in 2019, according to the NRF.

Even so, the first holiday shopping in October and surveys of consumers on their spending plans indicate that retailers will end the year on a high note, Shay said.

“We are expecting a bright, successful and joyful holiday season and we believe we are on the right track to make it happen,” he said.

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