Bloomberg News

Cyber Monday Online Retail Sales Rise From 2010, IBM Says

November 29, 2011

(Updates with an analyst’s comment in fourth paragraph.)

Nov. 28 (Bloomberg) -- Online retail sales today were up 20 percent from a year earlier as of 12 p.m. New York time, as shoppers flocked to the Web for deals on so-called Cyber Monday, according to International Business Machines Corp.

Amazon.com Inc., EBay Inc. and other Internet retailers pay close attention to buying on the Monday after Thanksgiving, when many people step up Web purchasing of holiday gifts. Online spending today may rise to $1.2 billion from $1.03 billion last year, according to ComScore Inc, a market-research firm. Shares of Amazon and EBay climbed.

Internet sellers offered early discounts and set up pop-up locations leading up to Cyber Monday, aiming to grab a bigger portion of holiday sales by luring consumers from bricks-and- mortar retailers. Sales on the Web and in malls surged over the weekend, with consumers spending a record $52.4 billion, the National Retail Federation said.

“Consumers are definitely opening their wallets again,” Andrew Lipsman, a vice president of industry analysis at ComScore, said in an interview. “Consumers have been saving and got their houses in order. They are feeling a bit better about spending than the past several years.”

Shares of Seattle-based Amazon jumped 6.4 percent to $194.15 at 1 p.m. New York time, the biggest gain in more than three months. EBay, based in San Jose, California, rose 5.2 percent to $29.70, its largest increase since September.

Online Shopping at Work

E-commerce sales in November and December will rise 15 percent to $37.6 billion, Reston, Virginia-based ComScore estimated. The researcher said Black Friday, or the day after Thanksgiving, brought $816 million in online sales.

Shopping from wireless devices is also on the rise this year, Armonk, New York-based IBM said in an e-mailed statement today, with 13.3 percent of consumers using a mobile device to visit a retail site so far, and 8.5 percent using one to make a purchase. Mobile shopping is forecast to accelerate later in the day, IBM said.

Many consumers wait until the Monday after Thanksgiving to make online purchases, some of them taking advantage of faster, more robust Internet connections available from offices. Half of U.S. workers plan to spend time shopping via the Web this holiday season, on par with 52 percent last year, according to a survey by Careerbuilder.com.

Of that tally, 34 percent will spend an hour or more shopping this season, according to the survey of 4,384 workers and 2,696 employers. It was conducted from Aug. 16 to Sept. 8.

--Editors: Tom Giles, Jillian Ward

To contact the reporter on this story: Xu Wang in New York at xwang206@bloomberg.net

To contact the editor responsible for this story: Tom Giles at tgiles5@bloomberg.net


The Good Business Issue
LIMITED-TIME OFFER SUBSCRIBE NOW
 
blog comments powered by Disqus