Black Friday shoppers set record by spending $9.8 billion online: Adobe
Demand for electronics, TV, audio equipment helped boost Black Friday sales
Black Friday shoppers spent a record $9.8 billion online in the US, Adobe Analytics reported, offering a positive sign for retailers facing lackluster sales forecasts for the holiday season.
Demand for electronics, smartwatches, TVs and audio equipment helped boost the day’s online sales by 7.5 per cent compared with last year. Consumers extended their budgets by leaning on buy-now, pay-later options, which climbed by 72 per cent from the week before Thanksgiving.
The uptick marks a recovery from last year’s holiday season, when high inflation hit consumers’ pockets and retailers discounted heavily to get rid of bloated inventory. This year, holiday shopping is a bellwether for US consumer resilience as pandemic-era savings dwindle and interest rates remain at a more than 20-year high.
US online sales grew 9 per cent year-on-year in a separate Salesforce Inc. gauge, driven by footwear, sporting goods, health and beauty. Clothing, home and beauty showed the biggest discounts.
Online sales for the days leading up to Cyber Monday on November 27 can give companies an early sense of holiday-season performance as they await slower brick-and-mortar data. Yet initial forecasts for November and December point to dismal sales growth.
In the US, Salesforce predicted online sales would grow 1 per cent during that period compared to 2022, the slowest pace in at least five years. Adobe expects revenue to grow 4.8 per cent, far behind the pre-pandemic average annual rate of 13 per cent. The two companies analyze different transactions, which accounts for the variation in numbers.
Canada-based e-commerce marketplace Shopify Inc. said global Black Friday sales rose 22 per cent, led by clothing, personal care and jewelry.