U.S. Online Black Friday Sales Hit a Historic High, Attracting Thrifty Consumers

Black Friday in the United States saw unprecedented online sales this year, reaching a staggering $9.8 billion, representing a 7.5% increase from the previous year, setting a new all-time high for digital spending on this major shopping day. Adobe Analytics reported this record-breaking figure, shining a hopeful light for the retail industry which was bracing for subdued sales this holiday season.

Deal-Driven Momentum

In the quest for the best price breaks, consumers eagerly scoured the internet for the greatest bargains, reaping the benefits of hefty discounts and flexible payment arrangements. This surge in online expenditure was motivated by the relentless high inflation rates, pushing shoppers towards more cost-effective purchases and timing their shopping to align closely with their immediate needs.

The items that topped the sales charts encompassed smartwatches, TVs, toys, and gaming products, which flew off the virtual shelves as buyers capitalized on Black Friday promotions.

Emerging Payment Trends

An emerging trend this Black Friday was the consumers' preference for buy-now, pay-later (BNPL) services, which accounted for $79 million of the total online sales, marking a substantial 47% year-over-year growth. This shift indicates an evolving consumer behavior towards more flexible funding options.

Continued Growth Expected on Cyber Monday

As the shopping weekend proceeded, Thanksgiving also witnessed a rise in online sales by 5.5% year-over-year, culminating in a $5.6 billion spend, with predictions for Cyber Monday to potentially top the charts with expected revenue around $12 billion. Notwithstanding the strong start, Adobe Analytics anticipates a gradual slowdown in spending as discounts become less pronounced further into the season.

Competing with Adobe's insights, Salesforce reported even higher figures, with Black Friday online sales notching $16.4 billion domestically and $70.9 billion on a global scale. Thanksgiving numbers followed suit, with the United States contributing $7.5 billion to the global total of $31.7 billion, each marking a 1% year-over-year increase.

Key Market Players

The retail landscape featured prominent players during this sales frenzy, with Amazon (AMZN), Target (TGT), Walmart (WMT), Best Buy (BBY), Apple (AAPL), Costco (COST), Home Depot (HD), Lowe's (LOW), eBay (EBAY), Macy's (M), and TJX (TJX) standing out among the rest.

retail, ecommerce, sales