Shopify Merchants Break Records over Black Friday/Cyber Monday Weekend

Shopify Inc. announced Black Friday/Cyber Monday weekend results, with sales of $5.1+ billion from the more than one million Shopify-powered brands around the world. From November 27 through November 30, total sales grew by 76% from the $2.9+ billion reported for Black Friday/Cyber Monday weekend in 2019, a record that was surpassed this year on Saturday, November 28, at 5:00pm ET.

Black Friday/Cyber Monday sales from Shopify’s merchants, largely small and independent brands, demonstrate retail resilience—and consumers are voting with their wallets to support them. In addition to this record-setting weekend, we saw holiday shopping start earlier than ever before, with daily total sales increasing 19 days before Cyber Monday, nearly two weeks earlier than previous years. In fact, in the week leading up to Cyber Monday, from November 23 through November 30, sales increased by 84% from 2019.

Building on the company’s commitment to sustainability and creating a low-carbon future, Shopify offset all carbon emissions from the delivery of every order placed on Shopify’s platform during the weekend, resulting in nearly 62,000 tonnes of carbon emissions offset during the Black Friday/Cyber Monday weekend. That’s the equivalent of carbon sequestered by 80,970 acres of North American forests in one year—the size of approximately 61,340 football fields.

Shopify’s 2020 Black Friday/Cyber Monday Global Highlights

  • 44+ million consumers globally purchased from independent and direct-to-consumer brands powered by Shopify, a 50% jump from 2019.
  • Black Friday/Cyber Monday Weekend sales peaked at 12:00 PM ET on Black Friday, with $102 million+ sales that hour.
  • Consumers spent $89.20 USD on average per order throughout the Black Friday/Cyber Monday weekend. Consumers in Japan ($106.40 USD) and Australia ($105.50 USD) spent the most on average, ahead of shoppers in Canada ($103.00 USD), US ($92.80 USD), and others.
  • Mobile sales stayed relatively flat this Black Friday/Cyber Monday compared to last year, with 67% of sales made on mobile devices versus 33% on desktop, compared to 68% of sales made on mobile devices versus 32% on desktop in 2019.
  • Apparel and accessories held the top spot for sales across Shopify-powered stores this weekend, with health and beauty, and home and garden following.

U.S. Black Friday Online Sales Reached $9 Billion, While In-Store Traffic Was Down

With coronavirus cases on the rise, retailers were worried about their black Friday sales, and rightfully so. In a survey conducted by Statista, 36% of U.S. consumers planned to do most of their holiday shopping on Black Friday in 2020. This is a significant decrease compared to 2015, when some 60% of respondents were planning to do the majority of their shopping during that time. Stores simply being too crowded was the main reason cited by consumers for not going shopping in-person.

Black Friday online sales totalled $9 billion, of which $3.6 billion were made on smartphones. Meanwhile, traffic at stores was down by 52% in the U.S. The combination of customers not feeling comfortable shopping in-person during the pandemic, stay-at-home-orders, major stores remaining closed on the holiday, and retailers trying to prevent crowds by having shorter business hours and limiting store-specific sales and deals, caused this decline in traffic. Some of these lost sales could be made up later in the week, as customers may opt to make their purchases in-store on less busy days.

In-person lineups and bargain-hunting remained in Ontario on Black Friday. Some shoppers even left the Toronto and Peel Region lockdown zones to shop at Vaughan Mills Shopping Centre or CF Markville — malls within the GTA but exempt from the harshest COVID-19 restrictions banning in-store shopping. The Vaughn Mills mall was ticketed multiple times for violating COVID-19 protocols during the weekend.

“New consoles, phones, smart devices and TVs that are traditional Black Friday purchases are sharing online shopping cart space this year with unorthodox Black Friday purchases such as groceries, clothes and alcohol, that would previously have been purchased in-store,” said Taylor Schreiner, a director at Adobe Digital Insights.

This shift to online shopping could cause a future reduction in store traffic, as more and more people who weren’t fans of e-commerce, now see the ease and benefits of it and become avid online shoppers. Not to mention other options that are now available to consumers as a result of the pandemic, such as curbside pickup, free shipping, and contactless delivery.

Small Business Saturday

Small Business Saturday, which had particular importance this year amid the pandemic’s impact on independent stores, also seemed to resonate with consumers. U.S. companies with $10 million to $50 million in annual revenue saw a nearly 300% increase in sales compared to a normal day, according to Adobe.

Cyber Monday

Consumers pounced on discounts and deals this Cyber Monday, making it the single largest day for online sales in U.S. history. Shoppers spent a record $10.8 billion Monday, marking an all-time high for ecommerce spending and beating last year’s $9.4 billion record, according to Adobe Analytics. 

Fully one-quarter of the day’s sales — $2.7 billion — were made during the so-called “golden hours of retail,” between 7  p.m.and 11 p.m. Pacific Time. Consumers spent a whopping $12 million per minute on toys, electronics, clothing, appliances and more during the  8 p.m. to 9 p.m. peak hour of shopping mania, according to Adobe. 

Monday’s total spend represented a 15% year-over-year increase in sales.  Adobe’s shopping data analyzes one trillion visits to U.S. retail sites and has calculated that the total season-to date holiday spending, including Cyber Monday, is over the $100 billion threshold. This milestone is usually not reached until mid-December. 

“Cyber Monday continued to dominate the holiday shopping season, becoming the biggest online shopping day in U.S. history, despite early discounts from retailers. Throughout the remainder of the holiday season, we expect to see record sales continue and curbside pickup to gain even more momentum as shoppers avoid crowds and potential shipping delays,” Taylor Schreiner, director of Adobe Digital Insights, said in a statement on December 1.

Source: Global News
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Source: Forbes
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