Ecommerce 2010 Holiday Sales Forecast Calls for 15% Growth!
The outlook is good, with a growth forecast at 15% for online sales, versus just over 2% overall. For many companies, holiday revenues represent up to 40% of their annual sales, with the overall percentage being 20% across all retail.
Let’s clarify some terms: What is Black Friday? Cyber Monday?
The term Black Friday – the day after Thanksgiving – may sound ominous, but it’s actually a great day in the retail world. In fact, it so dubbed because it marks a critical point in the retail revenue cycle, since so many stores go from being “in the red” to being “in the black”—i.e. making a profit. As the Internet became ubiquitous, we were introduced to Cyber Monday, the first Monday after Thanksgiving. This is considered the ecommerce equivalent to Black Friday.
Bullet Points
There’s always plenty of hyperbole around what to expect from Black Friday and Cyber Monday, but let’s focus specifically on some of the takeaways relevant to Ecommerce:
- Integrated Marketing Messaging Across All Media – “We believe that the retailers that have integrated marketing messages where their Facebook pages, website and in-store presences share a common campaign or theme will be the big winners this holiday season,” said Alison Paul, retail practice head for Deloitte LLP in an article published by Internet Retailer in September of this year.
- Make it Easy for Customers to Reach You – Ecommerce sites need to be sure they take every opportunity to tell customers how to reach them. Internet Retailer recommends putting your phone number and e-mail address at the top of every web page. As reported in an article published by IR earlier this month: “Don’t make it hard for your customers to find you and talk to you,” says Luis Hernandez Jr., CEO of TheMotorBookstore.com, which sells repair manuals and how-to books.
- Leverage All the Channels Available to You- Ecommerce companies are well positioned to take advantage of new trends in consumer behavior like mobile commerce to drive sales and provide added service to customers who want to shop anytime, anywhere. “While consumers have shown they are once again willing to spend on what’s important to them, they will still be very conscientious about price,” said Jack Kleinhenz, Ph.D., chief economist for the National Retailer Federation. “Retailers are expected to compensate for this fundamental shift in shopper mentality by offering significant promotions throughout the holiday season and emphasizing value throughout their marketing efforts.”
- Lessons Learned from Ecommerce Trends in 2009
- With more than 100 million shoppers in the US expected to be online on Cyber Monday, make sure your website can handle the traffic volume. You don’t want to miss out on revenue just because your site stalls. If you’re concerned about this, call our team at 866-706-8691 and ask to speak with a sales consultant to discuss your options.
- Promote, Advertise and Optimize. People want to know what you have to sell them. Don’t make it hard to find you! Whether they’re on directories, local listings or doing a query on a search engine, you need to be wherever people are looking for your product or service.
- Be ready early and keep your eye on the ball through the end of the year. Consumers start their holiday shopping well before Halloween and continue into the New Year.
- Leverage Social Media. If you have not yet ventured into the Social Media Blogosphere, Carpe Diem! If you’ve made a tentative foray into the land of tweets and likes, get on it and stay on it. It’s all about being where your customers are.
- Put your best Promo forward. Think about offering free shipping, a one day sale, a gift with purchase, a charitable donation with purchase, a percentage or volume discount. Whatever you do, promote it on your website, through advertisements, on Social Media, and directly via email to your subscriber base? Don’t have an opt-in email list. Start one NOW!
Ecommerce Statistics from 2009
Purchasing Behavior
Why Consumers Prefer to Shop Online Rather Than in Stores During the Holidays
- 2 in 5 Number of Americans who shopped online for holiday purchases in 2009
- 56% Consumers who said that everyday low prices or sales were the biggest influence in deciding where to shop
- 20% Percentage of people who said Internet advertising influenced their purchasing decisions
Sources: BIGresearch and Shop.org eHoliday survey, 2009
What Influences Consumers’ Purchasing Decisions
- 42% Percentage of holiday shoppers who shopped online last holiday season
- 91.5% Percentage who shopped from a home computer on Cyber Monday
From the National Retailers Federation
People with Online Access at Work who Shopped from the Office Last Holiday Season
- 96.5 Millions of people who shopped online on Cyber Monday last year
- 41.5% Percentage of people who shopped early in the morning on Cyber Monday
- 92% Percentage of people who had not finished their holiday shopping by Cyber Monday
Sources: BIGresearch and Shop.org eHoliday survey, 2009
Ecommerce Trends
- 47% Percentage of ecommerce companies who used social media more in 2009 than in previous years
- 79% Percentage of online retailers that offered free shipping last holiday season
- 34% Percentage of ecomm companies who started holiday promotions earlier in 2009
- 77% Percentage of websites who sold gift cards or gift certificates online in the 2009 holiday season
- 87% Percentage of online retailers who promoted special Cyber Monday deals in 2009
Online Retailers’ Cyber Monday Promotions
Sources: BIGresearch and Shop.org eHoliday survey, 2009