Holiday Sales Online Soar 25% To $23.2 Billion
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CHICAGO – Consumers spent $23.2 billion online during the holiday season, up 25% from the $18.5 billion they spent last year, according to a survey released Monday.
Several factors drove the increase, including consumers’ comfort level with shopping on the Internet, which continues to rise, said a retail analyst at research firm Nielsen/NetRatings, Heather Dougherty.
The online retailing survey was put together by Nielsen/NetRatings, Goldman Sachs, and Harris Interactive based on weekly surveys of more than 1,000 respondents. The totals exclude travel.
One possible sign that consumers are more comfortable shopping on the Internet is that sales of jewelry on the Web rose 113% to $1.89 billion from $888 million last year. Jewelry can be a big-ticket item and is one that consumers often want to see in person before purchasing.
Jewelry was the biggest percentage gainer year over year, according to the survey.
“Jewelry in the offline category has been big for holidays in the past and now consumers are comfortable doing that online,” Dougherty said.
Jewelry’s online sales growth was also likely helped by the sale of clothing over the Internet, Dougherty said. Online shoppers spent the most on apparel during the holiday season, with the category accounting for 16% of total online revenue during the period. Consumers shelled out $3.76 billion for clothing, compared with $3.73 billion last year.
Another reason for the overall increase in online spending is that retailers now offer more products online than they have in the past. If a consumer can’t find a product at a local store, the item can sometimes be purchased from the retailer’s Web site, Dougherty noted.
Consumers spent $2.53 billion on toys and video games during the holiday season, ranking it second in percentage of total online revenue at 11%. Consumer electronics ranked third at 10% of total online revenue, or $2.3 billion.
Flowers were the second-fastest growing category behind jewelry. Consumers spent $530 million in online floral purchases, up 59% from $333 million last year. Computer hardware and peripherals were the third-fastest growing category, with spending rising 30% to $2.14 billion from $1.65 billion.
