US shoppers snap up Cyber Monday deals

2011-11-29 11:04

kalahari.com

New York - US shoppers seem to be just as enthusiastic about shopping on their computers and smartphones on Cyber Monday as they were about finding deals over the weekend.

Online sales on Cyber Monday, which was started in 2005 by a retail trade group to encourage Americans to shop online on the Monday after Thanksgiving, were up 18% from a year ago, according to data from IBM Benchmark. Meanwhile, sales from mobile devices were up 7.4%. The group did not give dollar amounts.

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, the world's largest retailer, have been offering more and better incentives like hourly deals and free shipping, to capitalise 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% of their annual revenue.

On Monday, Amazon.com offered its bigger, more expensive Kindle DX for $259, or $120 off the regular price. The Express clothing chain was giving 30% off and free shipping on all online orders. And Wal-Mart, which has been calling the holiday "Cyber Week" in ads, was offering an LG 47-inch (119cm) LED TV for $879, or $320 off the regular price.

"Cyber Monday is far more exciting to me than Black Friday," says Jamie Minoso, a 40-year-old English teacher from Alabama. "I do not enjoy the traffic and chaos involved in shopping at a mall."

To be sure, the strong start to Cyber Monday, created by a unit of The National Retail Federation, follows an even stronger kickoff to the holiday shopping season over the weekend. Americans shopped in record numbers, driven by earlier store openings and a push by retailers for online sales.

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 NRF. And sales on Black Friday, the day after Thanksgiving, rose 7% to $11.4 billion, the largest amount ever spent, according to ShopperTrak, which gathers stores' data.

Online sales were strong even over the weekend. Thirty-eight percent of all purchases were made online this year, up from 31% to 32% last year, says Sherif Mityas, partner in the retail practice of AT Kearney, who believes the increase was due to heavy promotions.

Got to get it

Barneys, for instance, offered 40% off on its website on Thanksgiving Day, a day before it began its sales in stores. And Barnes & Noble offered 40% to 75% off online products, discounts that weren't available in store.

"Retailers are doing a good job of creating more excitement online in ways they can't do in store," Mityas says. "They're creating that excitement of, I've got to get that special deal, that is really spurring traffic.”

It won't be clear how well retailers will ultimately fare on Cyber Monday until Tuesday. But last year, sales on the day topped $1bn for the first time, making it the heaviest day of online spending ever.

Ahead of this week's "Cyber Monday," the NRF says nearly 80% of retailers plan to offer special promotions. And a record 122.9 million of Americans are expected to shop on the day, up from 106.9 million who shopped on "Cyber Monday" last year, according to a survey conducted for Shop.org.

By early afternoon on Monday, traffic was up about 37% year-over-year, according to Akamai, an online content delivery company. Akamai says it expects online traffic to peak at about 21:00.

Traffic has been up substantially since the Monday before Thanksgiving as retailers promoted online deals earlier than ever, says Lelah Manz, Akamai's chief strategist of commerce.

"There has been a huge volume of promotional activity being driven by daily deal sites, Facebook and other social networking sites," she says.

- AP
Read more on:    us  |  internet  |  e-commerce
NEXT ON NEWS24X
SHARE:

Read News24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
3 comments
Add your comment
Comment 0 characters remaining
 

Inside News24

 
/Travel

Jobs in Cape Town [change area]

Property [change area]

Travel - Look, Book, Go!

Magical Massinga

Spend 5 nights at the gorgeous Massinga Beach Lodge in Mozambique and only pay for 4 from R13 220 per person sharing. Includes return flights, accommodation, transfers and romantic turndown. Book now!

Kalahari.com - shop online today

Pre-order your iPhone 6 at kalahari.com

Hurry and pre-order your own iPhone 6 now at SA’s favourite online store!

Bargain box – 60% off

Reduced prices, very limited stock. While stocks last. Hurry and shop now!

Mind blow low prices on electronics

Get either the Prestigio multiphone or Proline tablet 7” tablet for only R699. Offers valid while stocks last. Shop now!

30% off Barbie toys

Save 30% on all Barbie toys and accessories. Offer valid while stocks last. Shop now!

Baby extravanganza month at kalahari.com

Celebrate baby month with a wide range of awesome baby products. Offers valid while stocks last. Shop now.

OLX Free Classifieds [change area]

Samsung Galaxy s4

Mobile, Cell Phones in South Africa, Western Cape, Cape Town. Date October 24

Best bargain in big bay

Real Estate, Houses - Apartments for Sale in South Africa, Western Cape, Cape Town. Date October 25

VW Golf 6, 1.6 Trendline (Excellent condition)

Vehicles, Cars in South Africa, Western Cape, Cape Town. Date October 25

Horoscopes
Aquarius
Aquarius

Be open, network and share your intentions and ideas as these may be the vital seeds to the imminent change that can be starting...read more

There are new stories on the homepage. Click here to see them.
 
English
Afrikaans
isiZulu

Hello 

Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.


Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Settings

Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.








Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.