Government // Enterprise Architecture
News
12/13/2010
11:20 AM
Connect Directly
RSS
E-Mail
50%
50%
Repost This

Online Holiday Sales Approach $22 Billion

Free shipping and other offers drive a 12% gain in e-retailers' revenue over 2009, with a week yet to go in the peak buying season, reports ComScore.

40 Tech Gifts For The Holiday Season
(click image for larger view)
Slideshow: 40 Tech Gifts For The Holiday Season
Online shopping continues to beat the most optimistic predictions, as sales approached $22 billion for the period so far, and consumers are showing no signs of trimming their cyber purchases, according to the latest figures from ComScore.

The online digital metrics market researcher said more than $5 billion in spending was recorded in the week ending Friday, Dec. 10. The figure represented an increase of 11% over the corresponding week last year.

"With more than $5 billion in spending this past week, it's clear that while deal-seeking shoppers may have driven stronger than anticipated spending early in the season, Americans continue to demonstrate a significantly greater willingness to spend online this year than in seasons past," said ComScore chairman Gian Fulgoni in a statement, adding that he expects at least one more day in which the billion dollar spending threshold is surpassed.

While Americans are clearly becoming more comfortable ordering goods online, they also appear to be attracted to the increasing number of promotions offered by online retailers. The most important new promotional feature is free shipping. Walmart.com began a free shipping feature this year and millions of consumers reportedly have taken advantage of the deal.

Amazon is offering free shipping on orders over $25. The company is guaranteeing Dec. 24 delivery for orders placed through Friday, Dec. 17.

Fulgoni said ComScore expects shopping to spike on Friday when many additional online retailers will be offering free shipping. Green Monday, Dec. 13, is also expected to be a big shopping day. EBay coined the Green Monday promotion in 2007 and it has caught on among online retailers and their customers seeking bargains.

"As consumers become more confident in the reliability of expedited shipping that they are willing to buy online later in the season," said Fulgoni. "Several days in the upcoming week are candidates to (be) the heaviest online spending day of the year."

The earliest stretch of the holiday shopping season -- the 40 days beginning Nov. 1 -- have already broken online shopping records, with $21.95 billion spent, representing a 12% gain over the same period last year.

SEE ALSO:

Cyber Monday Sales Jump 19%

Consumers Ignore Safe Online Shopping Guidance

High Gas Prices Fuel Move To Online Shopping

Comment  | 
Print  | 
More Insights
Register for InformationWeek Newsletters
White Papers
Current Issue
InformationWeek Elite 100 - 2014
Our InformationWeek Elite 100 issue -- our 26th ranking of technology innovators -- shines a spotlight on businesses that are succeeding because of their digital strategies. We take a close at look at the top five companies in this year's ranking and the eight winners of our Business Innovation awards, and offer 20 great ideas that you can use in your company. We also provide a ranked list of our Elite 100 innovators.
Video
Slideshows
Twitter Feed
Audio Interviews
Archived Audio Interviews
GE is a leader in combining connected devices and advanced analytics in pursuit of practical goals like less downtime, lower operating costs, and higher throughput. At GIO Power & Water, CIO Jim Fowler is part of the team exploring how to apply these techniques to some of the world's essential infrastructure, from power plants to water treatment systems. Join us, and bring your questions, as we talk about what's ahead.