In a 2009 RetailWire poll, 50 percent of respondents said Cyber Monday was somewhat or very important to online sales performance for the holiday season. Forty-four percent said not so much. So what is the reality of Cyber Monday's importance one year along?
According to Shop.org, 90 percent of retailers planned to run special Cyber Monday promotions this year. Nearly 107 million Americans planned to shop yesterday up from the 96.5 million who shopped on Cyber Monday in 2009.
"Hundreds of retailers have already announced special Cyber Monday promotions ranging from free shipping offers to flash sales lasting only an hour or two. When it comes to Cyber Monday deals, shoppers know they can't lose this year," said Joan Broughton, interim executive director of Shop.org, in a press release.
John Squire, chief strategy officer at IBM's Coremetrics tracking service, told The Associated Press that Cyber Monday sales were running 15 percent above where they were last year as of 3 p.m. Eastern yesterday afternoon.
"The numbers are really strong," Mr. Squire told the AP.
Shawn Milne, an analyst with Janney Montgomery Scott, told Bloomberg News that Cyber Monday sales could top $1 billion for the first time since the term was coined by the National Retail Federation five years ago.
All signs point to online sales growing this holiday season and grabbing a greater share of total retail revenues. According to comScore, online sales in the U.S. for first 26 days of November were up 13 percent to $11.64 billion.
Brian Sozzi, an analyst with Wall Street Strategies, questioned in a research note whether Cyber Monday has been relegated to "relic" status. Mr. Sozzi pointed to a number of factors that decreased the importance of the day, including online promotions that started in the beginning of the month, increased promotions of online deals before Thanksgiving, consumer access to smartphones enabling greater flexibility when making purchases.
Discussion Questions: Is the effort behind Cyber Monday worth it for retailers?
Have the early promotions, smartphones and other factors made Cyber Monday
obsolete?
[Editor's Note] Cyber Monday, while getting most of the hype, has not been
the top holiday sales producer for online merchants in past years. ComScore
had Dec. 15 as the top day for online sales in 2009.
- Online Holiday Retail Sales Growth Poised to Reach Pre-Recession Level - Bloomberg News
- Over 106 Million Americans to Shop on Cyber Monday, According to Shop.org Survey - National Retail Federation
- Cybershopping comes back strong - San Jose Mercury News
- Cyber Monday attracts an estimated 107 million shoppers - Los Angeles Times
- Sales could top $1 billion on a manic Cyber Monday - The Associated Press/Google