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- Black Friday online shopping expected to hit record high, data shows (abcnews.go.com)
Online Shopping Frenzy Breaks Records on Thanksgiving, Setting Stage for Black Friday Boom
Online shoppers truly outdid themselves this Thanksgiving, shattering previous records with a staggering $6.4 billion in digital spending. This impressive 5% jump from last year has set the stage for what analysts predict will be an even bigger Black Friday, with spending expected to surpass last year’s totals by over 8%.
According to data from Adobe, the surge in Thanksgiving sales can be largely attributed to steeper-than-anticipated discounts, particularly on electronics. Deals weren’t limited to gadgets, though, with significant price drops observed across a wide range of products, including furniture, appliances, and toys.
“The magnitude of discounts was the big story on Thanksgiving yesterday, as retailers leaned into delivering great deals to drive consumer demand online,” stated Vivek Pandya, lead analyst at Adobe Digital Insights. He further highlighted the impact of “impulse-led mobile shopping and the use of generative AI which assisted shoppers in locating the best deals, two trends that helped deliver higher-than-expected overall spend on Thanksgiving.”
Indeed, the rise of AI retail assistants played a significant role in this shopping spree. Adobe reported a remarkable 725% increase in AI-driven traffic to online sellers compared to last year, primarily through consumer-aiding chatbots. Shoppers who utilized these AI services were 54% more likely to make a purchase, demonstrating the growing influence of artificial intelligence in the retail landscape.
Looking ahead, Adobe is adjusting its discount forecasts, now expecting deals for the remainder of the holiday season to rival the elevated levels seen last year.
This robust start to the holiday shopping season comes at a critical time for the U.S. economy. Recent months have seen a pickup in inflation, exceeding the Federal Reserve’s 2% target, while hiring has slowed. Consumer spending among middle and low-income Americans has also shown signs of deceleration, leading to cautious outlooks from major restaurant chains and a dip in consumer sentiment.
Retailers are undoubtedly hoping that the holiday season will defy these economic headwinds, as consumer spending accounts for roughly two-thirds of U.S. economic activity. The success of this shopping period could have significant implications for the wider economy.
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- Black Friday online shopping expected to hit record high, data shows (abcnews.go.com)