Photo: Keith Williamson
Although Black Friday saw an unprecedented 7 per cent rise in sales compared to last year, IBIS World predicts that Cyber Monday will really steal the show.The study forecasts sales will rise 12.5 per cent from last year.
It’s impressive considering from 2010 to 2009 Cyber Monday sales already jumped by 20 per cent and topped $1 billion for the first time.
For 2011, online sales were up 14 per cent in November compared with 2010, and rose from $8.47 billion to $9.67 billion in the same 20-day period.
So what’s behind the jump in spending?
Another reason for the shift is that the online spending age gap is disappearing altogether.
The survey found that 18-24 year olds plan to do an average of 32 per cent of their shopping online, barely beating their 45 and older counterparts who plan to do 30 per cent of their holiday shopping on the internet, a Deloitte study found.
Another reason for the hike in online shopping is convenience. You don’t have to leave home and can have whatever you want shipped, many times free of charge. A study conducted on behalf of Ebates found 57 per cent of those surveyed said convenience was one of the top three reasons for shopping online.
Consumers also believe the internet provides better holiday shopping deals, according to the same study. Almost 65 per cent of those surveyed said online retailers offer more promotions than bricks-and-mortar stores.
It’s little surprise people feel that way. Almost 80 per cent of retailers will offer special promotions on Cyber Monday, according to the National Retail Federation. What’s more, about 92 per cent of online retailers surveyed said they would offer a holiday deal before the end of the holiday shopping season.