An independent entrepreneur at FedEx Corp. unload packages from a delivery truck in Cyber Monday, New York, USA, Monday, December 2, 2019.
Michael Nagle | Bloomberg | Getty Images
Online purchases in the US over the holidays of 2020 increased by 32.2% compared to 2019, totaling a record $ 188.2 billion as shoppers stayed home and bought on the web during the pandemic, according to Adobe Analytics.
E-commerce sales in November, which included Black Friday and Cyber Monday, reached $ 100 billion for the first time, said Adobe, which tracks the online transactions of 80 of the top 100 retailers. In another premiere, online spending exceeded $ 1 billion a day during the 2020 holiday season and 50 days exceeded $ 2 billion, Adobe said.
“In the light of the pandemic, digital has become the main way people can connect, work, have fun and shop, “said Taylor Schreiner, director of Adobe Digital Insights.” Now, as Covid-19 cases continue to grow and become stricter – reduction measures are back, online spending is expected to remain high, at least for early 2021. “
Food, appliances and books grew in popularity over the holidays, compared to October levels, Adobe said, while online sales of toys increased by 50% compared to 2019, and the jewelry category increased by 66%.
Spending on the Internet on Thanksgiving week through Cyber Monday accounted for only 18% of the overall season, down from 20% in 2019, Adobe said. As retailers promoted transactions earlier than ever, many Americans began shopping in October in an attempt to avoid crowded aisles during the pandemic.
Retailers such as Target and Dick’s Sporting Goods, which offer on-board and other convenient online pick-up options, had even stronger sales during the holidays, according to a separate Salesforce analysis. Their digital sales increased by an average of 49% from a year earlier, compared to an increase of about 28% for retail companies that did not take on board and similar options, Salesforce found.
Buyers were also looking for ways to finance their purchases and avoid running out of credit cards. The use of “buy now, pay later” for online orders increased by 109% during the holidays, Salesforce found, the biggest preparation taking place in the last week before Christmas.
Now, the growth of e-commerce business will translate into a record volume of profitability, which could prove to be the next biggest headache for retailers in the new year. Salesforce expects $ 330 billion in global online purchases to be returned after the 2020 holiday season, accounting for about 30% of total purchases.
“We expect to see these new innovations remain in 2021, with holiday strategies becoming the new standard that consumers expect from their preferred retailers and merchants,” said Rob Garf, vice president of retail strategy at Salesforce.
Read here the full Adobe Analytics report on the 2020 holidays.