According to data from Salesforce, early Black Friday sales indicate a strong start to the holiday shopping season, particularly in the online realm. Global online sales reached $70.9 billion, representing an 8% increase from last year’s Black Friday figures of $65.3 billion.
Salesforce also reported a 9% increase in online sales within the United States, totaling $16.4 billion. These numbers surpassed expectations and indicate a positive trend in online consumer spending. Notably, footwear, health and beauty, skincare, and sporting goods emerged as high-performing categories this year.
Shopify, which tracks both online and offline sales, recorded a significant boost in global sales. They reported a remarkable 22% year-over-year increase, reaching a record-breaking $4.1 billion.
The promising online sales trend is further exemplified by Adobe’s estimation that consumers spent a record-breaking $5.6 billion online on Thanksgiving Day, representing a 5.5% year-over-year increase.
As the shopping weekend continues, Salesforce expects the numbers to rise. Last year, they observed $281 billion in global online sales and $68 billion in the United States throughout Cyber Week (the period spanning Black Friday to Cyber Monday). This year, they project a 1% increase in Cyber Week online sales globally and a 4% increase overall.
However, it is essential to note that this data predominantly reflects online sales. It doesn’t provide comprehensive insights into the performance of brick-and-mortar operations for major retailers such as Best Buy, Target, Nordstrom, and Kohl’s. Recent earnings reports from these companies indicated a decline in sales.
In addition, the National Retail Federation forecasts a slower growth rate for total holiday sales this year. They predict a rate of 3% to 4%, translating to a range of $957.3 billion to $966.6 billion. If this forecast holds true, it will mark the smallest increase since 2019 when sales grew by 3.8%.
With an increasing preference for online shopping, a Deloitte study found that 61% of shoppers’ Black Friday budgets will be spent on online purchases—a two-percentage point increase from the previous year.
Mobile phones have played a significant role in facilitating these online purchases. Salesforce reported that a staggering 79% of digital website visits this year originated from mobile phones, setting a record for peak mobile traffic.
Overall, these early Black Friday sales data indicate a thriving online shopping trend, but it is crucial to consider the broader retail landscape and potential shifts in consumer behavior.