US Online holiday sales expected to reach almost USD20bn
Online holiday sales in the US are expected to reach almost USD20bn this year, with consumers returning to work after the Thanksgiving weekend and using fast Internet connections to place orders.
The Monday following the Thanksgiving celebrations has become known as 'Cyber Monday', with sales and discounts introduced by online retailers to generate traffic, the online equivalent of 'Black Friday'.
comScore Networks said consumers are expected to spend about USD19.6bn through US Internet sites during November and December, for non-travel goods, representing an increase of 24%, from USD15.8bn in the same period in 2004. The figures do not include sales on auction sites such as eBay Inc, or large corporate purchases, and account for under 5% of the US's total holiday sales.
According to Ernst & Young, the majority of people shop online at work, rather than at home, due to the faster connections often available. Traditional retailers have invested in their websites and many allow online purchases to be returned to physical stores for return, an issue which has overtaken security as a concern for consumers when shopping online.
A survey from Shop.org, an online retailer association, revealed that free shopping offers are a big draw for online consumers - in addition the avoidance of driving costs and queueing instore have encouraged online purchasing growth. Jupiter Research said many consumers feel they can find better choice and deals online, although it claimed sales and coupons can result in better instore offers.
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