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Although numerous American voters have expressed in polls that the state of the economy is not favorable, holiday spending is witnessing a rapid ascent. According to Adobe Analytics, the year 2024 set a new benchmark for Cyber Monday as Americans spent a whopping .3 billion, marking a 7.3% growth compared to the previous year. During the five-day holiday weekend concluding on Monday, Americans splurged .1 billion online, which is an 8.2% increase over 2023. As of October 2024, the inflation rate stood at 2.6%, clearly indicating that inflation alone could not adequately account for this significant increase.
Projected Continued Strong Holiday Spending
Adobe Analytics forecasts that retail spending during this holiday season is set to reach 0.8 billion, representing an 8.4% rise from 2023. This indicates that the trend of robust holiday spending is likely to persist.Hot Items on Cyber Monday
During Cyber Monday, several items emerged as hot sellers. Elf on the Shelf dolls, Harry Potter Toys and figurines, card and board games, stuffed animals and dolls, LEGO City sets, and craft and science kits were in high demand. Additionally, video game units such as PlayStation 5, Xbox Series X, Nintendo Switch OLED, and Meta Quest, along with popular games like Mario Kart 8 Deluxe, various Zelda Games, NBA 2k25, and Super Smash Bros, also witnessed significant sales.The exceedingly strong holiday shopping season comes at a time when U.S. political polls showed that a majority of registered voters believed the U.S. economy was in a poor state. "While Cyber Monday remained the season's and year's biggest online shopping day, the year-over-year growth was even more pronounced on both Thanksgiving and Black Friday," said Vivek Pandya, the lead analyst at Adobe Digital Insights. "Early discounts were so enticing that many consumers felt confident in hitting the buy button earlier during Cyber Week, with Cyber Monday becoming the 'last call' for shoppers to seize the big holiday deals."The National Retail Federation estimates that 197 million shoppers made retail purchases from Thanksgiving through Cyber Monday, which is slightly lower than the 200 million shoppers during the record-breaking 2023. However, the National Retail Federation noted that more people shopped in-person this year compared to 2023, while fewer Americans chose to shop online."Whether it's due to tradition, the attractive deals, or simply the joy of engaging in shopping with friends and family, consumers continue to embrace Thanksgiving holiday weekend shopping," said Prosper Executive Vice President of strategy Phil Rist. "Additional incentives like free shipping, limited sales or promotions, and positive reviews played a crucial role in convincing most shoppers to finalize their purchases and move items from their shopping carts to the checkout."
