Posted by Rob Coon, President of Dydacomp
Black Friday marked the start of the holiday shopping season for retailers and shoppers alike. This year consumers began their holiday shopping on Thanksgiving Day with about $407 million in sales and continued into Black Friday with sales totaling about $648 million. ComScore is reporting that e-retailers netted $1.028 billion in sales on Cyber Monday. They also reported an increase of 19.9% in spending from last year and a 31.1% increase in spending on Monday over that on Black Friday. Another positive number from Cyber Monday’s sales is that the average online order value increased from last year 8.3%, the average order value rose from $180.03 to $194.8. Many retailers are referring to the Thanksgiving weekend (Thursday through Monday) as the Cyber 5 due to the high volume of ecommerce sales over that entire weekend.
These numbers are a promising reminder that consumer confidence is growing. Even though consumers are more willing to spend money this year, they are entering the situation more educated than in past years. Consumers are shopping smarter with the help of various online resources, such as shopping comparison engines, to help them seek out and find the best deals available. Ecommerce retailers should focus on continuing to providing shoppers with promotions, gift ideas, visual navigation, and other ways tot make shopping easy and efficient. Customers want to be able to go to your store, find a gift, and complete the order quickly so retailers must ensure that their site offers an enjoyable shopping experience. Stores must remain on top of their game and should try to change up the sales promotions and keep them running throughout the holiday season to ensure that the customers will continue to spend.
Free shipping has been one of the biggest trends this holiday season as most of the large online retailers began announcing free shipping for online orders the week before Thanksgiving. According to ComScore, free shipping has become a more prominent promotion for online purchases and 77% of online consumers indicated free shipping was important. This is just one of the ways stores are hoping to continue to attract consumers throughout the holiday season. The Cyber 5 have come and gone and the challenge now lies in keeping consumers shopping throughout the month. Ecommerce retailers should continue using promotions that are attractive to consumers without hurting the chances of a profit.
The Cyber 5 hopefully serves as a preview of the remaining holiday season, but, it is up to the retailers to stay on top of their game and continue to drive traffic to their online shopping carts. How did your ecommerce store do during the Cyber 5? What strategies worked for you?