Cyber Monday: A Record-Breaking E-commerce Day
Consumers Scour for Online Deals on Cyber Monday
Consumers in the United States are scouring the internet for online deals as they look to take advantage of the post-Thanksgiving shopping marathon with Cyber Monday. Even though e-commerce is now part and parcel of many people’s regular routines and the holiday shopping season, Cyber Monday — a term coined in 2005 by the National Retail Federation — has become the biggest online shopping day of the year, thanks to the deals and the hype the industry has created to fuel it.
A Record-Breaking Day Expected
Adobe Analytics, which tracks online shopping, expects consumers to spend a record $13.2 billion on Monday, 6.1% more than last year. That would make it the season’s — and the year’s — biggest — shopping day for e-commerce.
Retailers’ Strategies
For several major retailers, a Cyber Monday sale is a days-long event that began over the Thanksgiving weekend. Amazon kicked off its sales event right after midnight Pacific time on Saturday. Target’s two days of discount offers on its website and app began overnight Sunday. Walmart rolled out its Cyber Monday offers for Walmart+ members on Sunday afternoon and opened it up to all customers three hours later, at 8 p.m. Eastern time.
Consumer Spending Trends
Consumer spending for Cyber Week — the five major shopping days between Thanksgiving and Cyber Monday — provides a strong indication of how much shoppers are willing to spend for the holidays. Many U.S. consumers continue to experience sticker shock following the period of post-pandemic inflation that left prices for many goods and services higher than they were three years ago. But retail sales nonetheless have remained strong, and the economy has kept growing at a healthy pace.
Buy Now, Pay Later
At the same time, credit card debt and delinquencies have been rising. More shoppers than ever are also on track to use "buy now, pay later" plans this holiday season, which allows them to delay payments on holiday decor, gifts, and other items.
Economic Outlook
Many economists have warned that President-elect Donald Trump’s plan to impose tariffs next year on foreign goods coming into the United States would lead to higher prices on everything from food to clothing to automobiles. The National Retail Federation expects holiday shoppers to spend more this year both in stores and online than last year. But the pace of spending growth will slow slightly, growing 2.5% to 3.5% — compared to 3.9% in 2023.
Conclusions and FAQs
Conclusions
Cyber Monday is expected to be the biggest online shopping day of the year, with consumers spending a record $13.2 billion. Retailers have been offering deals for days, and consumers are taking advantage of the discounts to make their holiday purchases.
Frequently Asked Questions
Q: How much will consumers spend on Cyber Monday?
A: Adobe Analytics expects consumers to spend a record $13.2 billion on Monday, 6.1% more than last year.
Q: What are the popular categories for holiday spending?
A: Toys, electronics, home goods, self-care, and beauty categories are among the key drivers of holiday spending.
Q: Are physical stores still relevant?
A: Yes, physical stores are still relevant, but consumers are increasingly preferring to shop online, with some retailers reporting a 3.2% decrease in store traffic on Black Friday.
Q: What are the implications of President-elect Trump’s plan to impose tariffs?
A: The plan is expected to lead to higher prices on everything from food to clothing to automobiles, which could negatively impact consumer spending.
