Cyber Monday spending surges - KMSP-TV

Cyber Monday spending surges

Posted: Updated:

MAE ANDERSON, AP Retail Writer

NEW YORK (AP) — Power up and shop.

Millions of Americans took advantage of online deals ranging from free shipping to hundreds of dollars off electronics and half-price clothing Monday, which was expected to be the busiest online shopping day of the year.

The spending surge on so-called Cyber Monday came after a disappointing holiday weekend in stores. And it showed that Americans are increasingly comfortable buying items on tablets and smartphones.

Early results showed online shopping was up 18.7 percent compared with the same time last year, according to figures by IBM Benchmark. Mobile traffic, which includes smartphones and tablets, accounted for 30 percent of all online traffic.

Brandon Harris, 27, from Memphis, Tenn., started shopping at midnight Sunday and by Monday had spent around $300 and completed half of his Christmas shopping, including a Barbie doll for his niece and a TV for his mother.

"I haven't shopped for a Christmas present in a store in three years," he said, making purchases from his iPad instead. "It's a lot more convenient to be at home and shop."

The National Retail Federation, a trade group, predicts more than 131 million people will shop online Monday, up about 2 percent from last year. Meanwhile, UPS expects to pick up more than 32 million packages on Monday, about a million more than Cyber Monday last year.

And research firm comScore expects Cyber Monday sales of $2 billion, up from about $1.47 billion last year. Online sales account for about 10 percent of total holiday spending, which is expected to grow about 3.9 percent to $602.1 billion for the months of November and December.

Joel Anderson, president and CEO of Walmart.com, said he anticipates Cyber Monday to be the site's busiest day ever. He said 2013 is the "tipping point" for mobile traffic, which includes smartphones and tablets.

More than half of Walmart.com's traffic came from smartphones and tablets on Thanksgiving and Black Friday, Anderson said. And he expected the same to be true on Monday.

"2013 is the year online went mobile," he said.

Arthur Baynes, 30, was checking out email deals on his smartphone. The travel insurance claims adjuster from Richmond, Va., was looking for a new TV and Blu-Ray games for his younger relatives.

"When I'm looking for something, I'll look it up on my phone and then use the Amazon app on my iPad to buy," he said Monday. "It's just easier. I don't have to sit down where my computer is."

Cyber Monday comes after retailers' failed efforts to boost spending during the holiday weekend. They offered big discounts in early November, and several opened stores on Thanksgiving Day. But the retail federation predicts that spending fell for the first time ever, down 2.9 percent to $57.4 billion, during the four days that ended Sunday.

About 81 percent of retailers planned to offer deals specifically for Cyber Monday, according to the NRF's online arm, called Shop.org.

The name Cyber Monday was coined in 2005 by Shop.org to push people to shop online. After retailers revved up deals for the day, it became the busiest online shopping day in 2010. But since then, more people shop online with faster Internet access, and retailers have expanded deals, stretching them into Cyber Week or even Cyber Month. This year, retailers such as Amazon and Wal-Mart rolled out online deals beginning in November.

Belus Capital management analyst Brian Sozzi said that's the new normal, however.

"The consumer has become immune to Cyber Monday and Cyber Week, they just want the discounts continually once the calendar hits November," he said.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


  • Local NewsLocal NewsMore>>

  • Search for arsonist targeting Brooklyn churches

    Search for arsonist targeting Brooklyn churches

    Wednesday, April 16 2014 9:09 AM EDT2014-04-16 13:09:23 GMT
    The hunt is on for the person who has set fires at three churches in three days in Brooklyn during Holy Week. Police say the first fire was started at 2:45 a.m. Saturday at The Greater New Beginnings Church in East Flatbush. They say newspapers were lit inside the doorway of the church.
    The hunt is on for the person who has set fires at three churches in three days in Brooklyn during Holy Week. Police say the first fire was started at 2:45 a.m. Saturday at The Greater New Beginnings Church in East Flatbush. They say newspapers were lit inside the doorway of the church.
  • Robert De Niro says Tribeca Film Festival is his passion

    Robert De Niro says Tribeca Film Festival is his passion

    Wednesday, April 16 2014 8:01 AM EDT2014-04-16 12:01:20 GMT
    Robert De Niro is a family man, a filmmaker, an entrepreneur and one of my favorite actors of all time. He's also a co-founder of the Tribeca Film Festival, which has more to see than ever before. De Niro wears just as many hats on screen as he does in real life. The father of six starred in six films last year, owns four restaurants and a hotel, and still finds time each spring for the Tribeca Film Festival, Lower Manhattan's annual cinematic showcase.
    Robert De Niro is a family man, a filmmaker, an entrepreneur and one of my favorite actors of all time. He's also a co-founder of the Tribeca Film Festival, which has more to see than ever before. De Niro wears just as many hats on screen as he does in real life. The father of six starred in six films last year, owns four restaurants and a hotel, and still finds time each spring for the Tribeca Film Festival, Lower Manhattan's annual cinematic showcase.
  • NYC exploring ways to curb taxi speeds

    NYC exploring ways to curb taxi speeds

    Wednesday, April 16 2014 7:14 AM EDT2014-04-16 11:14:53 GMT
    New York City is exploring ways to curb the speed of taxis. The Taxi and Limousine Commission this week issued a request for information on "anti speeding vehicle technologies."  The measures include devices that can intervene when drivers exceed posted speeds and "advisory systems" that can sound alarms when reckless driving is detected.
    New York City is exploring ways to curb the speed of taxis. The Taxi and Limousine Commission this week issued a request for information on "anti speeding vehicle technologies."  The measures include devices that can intervene when drivers exceed posted speeds and "advisory systems" that can sound alarms when reckless driving is detected.
Powered by WorldNow

KMSP-TV
11358 Viking Drive
Eden Prairie, MN 55344

Phone: (952) 944-9999
Fax: (952) 942-0455

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices