Live Updates: Online Discounts Will Hit Record Highs This US Holiday Shopping Season
Online merchandise discounts are set to hit an all-time high this holiday shopping season, in a potential treat for bargain hunters that should help keep U.S. consumer spending up throughout the month, according to Adobe Analytics. the period.
Shoppers could enjoy discounts of up to 32% on computers, 27% on electronics and 22% on toys, estimates Adobe, which is poised to spend nearly $210 billion online this holiday season , which runs from Nov. 1. until the end of the year.
Discounts, a feature of retailers trying to shed excess inventory, are set to arrive earlier this fall, in a slight twist on traditional spending habits. Helping to propel this trend, e-commerce giant Amazon is launching its second Prime Day sale this year on Tuesday.
“The shape of the holiday season will be different this year, with early discounts in October increasing spending that would have occurred around Cyber Week,” said Patrick Brown, vice president of growth marketing. and information at Adobe.
As a result, sales for Cyber Week — the period from Thanksgiving to Cyber Monday — are expected to rise just 2.8% from a year ago to $34.8 billion, Adobe estimates. That would represent a 16.3% share of holiday season spending, up from 16.6% in 2021.
Adobe forecasts US online vacation sales of $209.7 billion from Nov. 1 to Dec. 31, a 2.5% increase from a year ago. Holiday season spending is expected to be impacted by inflation, rising cost of borrowing and past discounts.
Retailers have struggled with excess inventory in recent months as consumers change their spending habits in response to persistently high inflation. Companies started offering discounts on items to move units, which meant consumers could find more discounts throughout the year, and not just during Cyber Week.