Over $1 Billion More Spent Online Than on Cyber Monday 2016; Revenue Driven by Smartphones Hits All-Time High with $1.59 Billion
Adobe (Nasdaq:ADBE) today released its 2017 online shopping data for
Cyber Monday and the holiday weekend overall. Cyber Monday is projected
to hit a new record as the largest online sales day in history with
$6.59 billion by the end of the day. This marks a 16.8 percent
year-over-year (YoY) increase as of 10:00 p.m. ET. In comparison, Black
Friday and Thanksgiving Day brought in $5.03 billion and $2.87 billion
in revenue respectively. Top sellers on Cyber Monday included the
Nintendo Switch, PJ Masks and Hatchimals & Colleggtibles figurines,
Apple AirPods, streaming devices like Google Chromecast and Roku, and
Super Mario Odyssey, the video game. The holiday shopping season so far
(November 1 to 27) drove a total of $50 billion in online revenue, a
16.8 percent increase. Adobe predicts this will be the first-ever
holiday season to break $100 billion in online sales.
Overall web traffic to retail sites increased by 11.9 percent on Cyber
Monday, with the season average at 5.7 percent. Mobile set a new record
representing 47.4 percent of visits (39.9 percent smartphones, 7.6
percent tablets) and 33.1 percent of revenue (24.1 percent smartphones,
9.0 percent tablets). Smartphone traffic specifically grew 22.2 percent
YoY while revenue coming from smartphones ($1.59 billion) saw 39.2
percent growth YoY, a new all-time high. Mobile transactions are closing
at a 12 percent higher rate compared to Cyber Monday 2016. For purchases
made on smartphones, Apple iOS led with an average order value (AOV) of
$123, in comparison to Google Android at $110.
“Shopping and buying on smartphones is becoming the new norm and can be
attributed to continued optimizations in the retail experience on mobile
devices and platforms,” said Mickey Mericle, vice president, Marketing
and Customer Insights at Adobe. “Consumers are also becoming more savvy
and efficient online shoppers. People increasingly know where to find
the best deals and what they want to purchase, which results in less
price matching behavior typically done on desktops. Millennials were
likely another reason for the dramatic growth in mobile, with 75 percent
expecting to shop via their smartphone."
Additional findings include:
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Top sellers: Best-selling electronics include Google
Chromecast, Apple iPads, Samsung Tablets, Apple AirPods, and Sony
Playstation VR. Video games and consoles include Super Mario Odyssey,
Nintendo Switch and Microsoft Xbox One X. Toys include PJ Masks and
Hatchimals & Colleggtibles, Funko Pop and L.O.L. Surprise dolls, as
well as Ride On Cars.
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Biggest discounts: Largest price drops heading into Cyber
Monday were for toys with an average discount of 18.8 percent,
followed by TVs at 21.1 percent and computers at 14.7 percent. Black
Friday saw the largest discounts for computers (15.9 percent on
average), followed by TVs (21.6 percent) and toys (17.3 percent). On
Giving Tuesday, pet products as well as furniture and bedding are
expected to see the best deals with 22 and 13 percent respectively.
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Expected shopping surge in the late hours of Cyber Monday:
Three hours in the evening of Cyber Monday (8-11 p.m. in each local
market) are expected to bring in more online revenue than the average
24-hour day. Conversion rates will reach their peak during the last
hour of Cyber Monday (11 p.m. – midnight) at four times the annual
average.
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Large and small retailers win: Large retailers (over $100
million in annual revenue) saw higher AOVs and desktop conversion
rates. Small retailers (under $10 million in annual revenue) saw 30
percent higher conversion rates on smartphones than large retailers.
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Top retail promotion drivers: Search drove the majority of
online sales on Cyber Monday at 41.7 percent (paid search at 22.9
percent, organic search at 18.8 percent). Direct traffic and email
drove 24.8 percent and 24.9 percent respectively. Paid search saw the
strongest growth at 8.3 percent YoY.
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Record Thanksgiving week online sales: November 23 through 26
totaled $13.03 billion, a 14.4 percent increase YoY. Thanksgiving Day
spend totaled $2.87 billion (18.3 percent growth YoY) while Black
Friday hit $5.03 billion (up 16.9 percent YoY). Thanksgiving weekend
(November 25 and 26) saw $5.12 billion in revenue. Online spend
surpassed at least $1 billion every day in the lead up to Thanksgiving.
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Full holiday season online sales: For the rest of the season,
13 days are projected to exceed $2 billion in online sales bringing
the total to 18 $2 billion days this holiday season, over double the
number from last year.
Methodology
Adobe leverages Adobe Sensei, Adobe’s artificial intelligence and
machine learning framework, to identify retail insights from trillions
of data points that flow through Adobe Analytics, part of Adobe
Analytics Cloud in Adobe Experience Cloud. Adobe’s retail report, the
most comprehensive set of insights and predictions of its kind in the
industry, is based on an analysis of one trillion visits to over 4,500
retail sites and 55 million SKUs. $7.50 of every $10 spent by consumers
online with the top 500 U.S. retailers go through Adobe Experience
Cloud.* Adobe Analytics measures 80 percent of online transactions at
the largest 100 U.S. web retailers.**
Helpful Links:
About Adobe
Adobe is changing the world through digital experiences. For more
information, visit www.adobe.com.
*Based on the top 100 retailers in the IR 2017 top 500 eGuide
**Internet Retailer’s 2017 Top 500 eGuide, an independent source that
measures online commerce technologies (https://www.digitalcommerce360.com/product/top-500-database/)
© 2017 Adobe Systems Incorporated. All rights reserved. Adobe and the
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Systems Incorporated in the United States and/or other countries. All
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Adobe
Melissa Chanslor, 415-832-5489
chanslor@adobe.com
Stefan Offermann, 408-536-4023
sofferma@adobe.com