Wednesday, December 14, 2011

Online spending stays strong in early December

(Reuters) - Online spending remained strong in early December, a period that usually marks a lull in the U.S. holiday shopping frenzy, comScore said on Sunday.

For the week ending December 9, consumers spent $5.9 billion online, up 15 percent from the same period a year earlier, according to comScore, which tracks Internet activity.

E-commerce spending for the first 39 days of the 2011 holiday season reached $24.6 billion, also up 15 percent versus the corresponding days last year, comScore added.

Earlier in the season, the day that has become known as "Cyber Monday" saw a record $1.25 billion spent online in the United States, up 22 percent from last year. Other early season shopping days were also strong, with "Black Friday" e-commerce sales jumping 26 percent from a year ago.

That sparked concern that sales could weaken later in the season, but so far that has not happened, comScore Chairman Gian Fulgoni said on Sunday.

"These highlights represent another very positive sign for the holiday shopping season, as the week following 'Cyber Week' often experiences relative softness in spending momentum due to retailers pulling back on their promotional activity," he said.

'GREEN MONDAY'

The latest data suggests a "strong finish" to the holiday shopping period online this year, Fulgoni added.

This coming week is usually the busiest for online retailers, beginning with "Green Monday," a term coined by eBay in 2007 to describe the Monday occurring around the second week of December, which has tended to be among the heaviest online spending days of the year.

Over the past six holiday shopping seasons, "Green Monday" has ranked among the top spending days of the season, ending the year as the top-ranked twice (in 2005 and 2007) and the second-ranked spending day three times (in 2006, 2008 and 2010), according to comScore data.

"Green Monday will rank among the top online spending days of the season, but it's hold on the No. 1 position may be slipping," Fulgoni said.

That may be because "Free Shipping Day" is becoming more important. This is a day when thousands of merchants offer free shipping on one of the last days that allows enough time for packages to be delivered in time for Christmas Eve, December 24.

Free Shipping Day is December 16 this year and these kinds of promotions may be helping to spread online spending throughout the week. In the past, spending was more concentrated earlier in the week, comScore's Fulgoni noted.

(Reporting by Alistair Barr, editing by Maureen Bavdek)


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Monday, December 05, 2011

Reports say 'Cyber Monday' top online shopping day

NEW YORK (AP) — Online shoppers spent record amounts on the Monday after the Thanksgiving holiday weekend, making it the biggest online shopping day in history.

Online sales rose 22 percent to $1.25 billion on "Cyber Monday," when retailers ramp up online promotions, according to research firm comScore Inc. That makes it the biggest online shopping day ever, the research firm said. A year ago, "Cyber Monday" sales topped $1 billion for the first time

IBM Benchmark, another company that tracks online sales, reported a 33 percent rise. The average order rose 2.6 percent to $193.24 this year, according to IBM Benchmark. It didn't give total dollar sales numbers for comparison. The company said about 80 percent of retailers offered online deals.

The Cyber Monday numbers point to Americans' growing comfort with using their personal computers, tablets and smartphones to shop.

Over the past few years, big chains like Wal-Mart Stores Inc., the world's largest retailer, have offered more and better incentives, like hourly deals and free shipping, to capitalize on that trend. It's important for retailers to make a good showing during the holiday shopping season, a time when they can make up to 40 percent of their annual revenue.

"Retailers that adopted a smarter approach to commerce, one that allowed them to swiftly adjust to the shifting shopping habits of their customers, whether in-store, online or via their mobile device, were able to fully benefit from this day and the entire holiday weekend, said John Squire, chief strategy officer, IBM Smarter Commerce.

About 6.6 percent of online shoppers used a mobile device to shop, up from 2.3 percent last year. Apple Inc.'s iPhone and iPad were the top mobile devices for retail traffic, with Android devices coming in third.

Web traffic rose 28 percent on Monday, according to another firm, online content-delivery firm Akamai. The peak was at 9 p.m. Eastern when shoppers across the country were online.

The numbers echo a strong shopper showing in brick-and-mortar stores over the holiday weekend. A record 226 million shoppers visited stores and websites during the four-day holiday weekend starting on Thanksgiving Day, up from 212 million last year, according to the National Retail Federation trade group. And sales on Black Friday, the day after Thanksgiving, rose 7 percent to $11.4 billion, the largest amount ever spent, according to ShopperTrak, which gathers stores' data.

A clearer picture of how holiday sales are shaping up will come on Thursday, when major retailers report November sales.

The term "Cyber Monday" was coined in 2005 by The National Retail Federation to encourage Americans to shop online on the Monday after Thanksgiving. It is not always the busiest online shopping day, but in recent years sales on the day have increased as retailers offer more deals specifically for Cyber Monday.


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