How Cyber ​​Monday became much bigger than Black Friday



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Cyber ​​Monday is the biggest Christmas shopping day on the calendar, but it's a fairly recent development.

Last year, according to ComScore, Cyber ​​Monday earned nearly $ 2.7 billion in online sales. That's more than double what people spent online on Thanksgiving ($ 1.3 billion), Black Friday ($ 1.97 billion) and both Saturday and Sunday of Thanksgiving weekend combined ( $ 2.5 billion). According to the National Retail Federation (NRF), more than 122 million people in the United States bought Cyber ​​Monday, which exceeds the 116 million that they bought on Black Friday (including only 67.9 million online shoppers).

Cyber ​​Monday has become such a powerful force that the Cyber ​​Monday offers on Amazon and elsewhere have been extended to the rest of the week. That made the Tuesday after Cyber ​​Monday the second largest online shopping holiday of the year, with more than $ 2.2 billion spent on that day last year.

"Cyber ​​Monday, retailers offer discounts online unlike any other day of the 'driving consumers to buy online no matter where they are or what device they are buying,' said the president and CEO of NRF, Matthew Shay, last year. "Millions of consumers bought during Thanksgiving weekend and reserved part of their budgets exclusively for Cyber ​​Monday, knowing that there will be digital offers that are too good to pbad up. "

However, when Shay's National Retail Federation coined the phrase" Cyber ​​Monday "in 2005 to describe an increase in online spending activity on the Monday after Thanksgiving, Cyber ​​Monday took over the eighth place among online shopping days, and even the following year, Cyber ​​Monday was a sad 12th among online Christmas shopping days.

er put that first year, and well ahead of Cyber ​​Monday for years, was Green Monday. Although it was not named until eBay granted the second Monday in December that name in 2007 to mean its best shopping day of the month. That year, online sales of the recently named Green Monday reached $ 881 million, 33% more than the same Monday of the previous year, according to ComScore. Cyber ​​Monday brought in only $ 733 million that year, according to ComScore estimates.

Andrew Lipsman, senior vice president of marketing and insights at ComScore, notes that the initial success of Green Monday and Cyber ​​Monday is often credited to faster Internet connections in the workplace. However, the cultural change in the US workplace in the mid-2000s probably deserves more credit.

"The first factor is simply the opportunity, with many workers spending large portions of their days in front of computer screens with Internet access," he said. He says. "It has become common for people to take care of personal tasks on their computers during the workday, and during the festive season that means doing some Christmas shopping."

Those office computers also offered buyers more privacy than they had at home, where the indiscreet eyes of family members can ruin the surprise. However, in 2008, Cyber ​​Monday was receiving a boost from both market forces and a pair of powerful allies. The collapse of the real estate market with the economic recession made Christmas shopping calendars less important than the offers that consumers could find online. While eBay relied heavily on individual sellers and a bidding process at that time and relied on the green Monday calendar for volume, Amazon could raise sales prices on Cyber ​​Monday and boost targeted consumers to their site.

The National Retail Association, meanwhile, saw the softness in the retail market and helped its member retailers push their own Cyber ​​Monday offers through its CyberMonday.com site.

During the 2007 holiday season, eBay (EBAY) was number 6 Internet property in the world, according to ComScore. Its 240.9 unique individual users were well ahead of Amazon's 187.3 million and were just below Wikipedia and AOL (273 million each). In the year that Apple launched its first iPhone, eBay was the leading e-commerce site in the world and people were more than happy to sit on it for hours bidding on durable items and auctions.

In 2008, however, Cyber ​​Monday had become day n. ° 3 Christmas shopping online, just behind Green Monday at n. ° 2. During the depths of the recession in 2009, Cyber ​​Monday claimed the No. 2 spot on Green Monday, while Green Monday fell to No. 5. [19659002] Cyber ​​Monday ranked No. 1 in 2010 and He has not abandoned it since then. By the time December 2015 arrived and "Digital Internet Properties" became "Digital Media Properties," eBay did not even rank in the Top 10 in the United States. Among users of desktop and mobile computers, it ranked 19th with 104 million visitors. That was behind the n. ° 16 of Walmart (111.8 million users) and far behind the n. ° 4 of Amazon (AMZN) (198.7 million users). Even if you removed mobile devices from the equation, eBay ranked 11th (55.9 million users) and remained the same as Walmart (56.2 million) and Amazon (118.6).

As eBay's profile plummeted, so did Green Monday's profile. After reaching a maximum of $ 1.6 billion in 2014, green Monday sales fell 13% in 2015 to $ 1.41 billion. While ComScore notes that Green Monday fell on December 8, 2014 and jumped to December 14, 2015, and that Green Monday sales in 2015 actually increased by 32% since December 15, 2014, that comparison did not It is valid . Green Monday is the second Monday in December, and December 15, 2014 was third on Monday of the month of that year. Green Monday fell to the fifth day of purchases in 2015, and has been stuck there since then.

Last year, green Monday rebounded to $ 1.62 billion, but the damage was already done. Cyber ​​Monday and Cyber ​​Tuesday won $ 4.9 billion combined, Black Friday closed with $ 2 billion and buyers worried about free shipping spent $ 1.7 billion on the Friday before Green Monday instead of betting three additional days . Cyber ​​Monday is now so monstrous that the $ 1 billion in revenue that it generated through sales only through mobile devices was more than the $ 967 million generated on the Free Shipping Day (December 16) of the year past.

Taking advantage of consumers' financial fears and channeling offers and discounts on Cyber ​​Monday, retailers make online purchases synonymous with frugal purchases. According to the accounting firm Deloitte, 50% of Christmas shoppers this year now say they prefer online purchases of brick and mortar, with only 36% saying otherwise. Approximately 55% of buyers tell Deloitte that they will buy online this year, 44% go to discount stores and 28% go to department stores.

"Cyber ​​Monday offers have become something smart buyers trust," said Prosper Senior Insight Analyst Pam Goodfellow. "Consumers wake up early, ready to buy in their favorite stores the items that have kept their eye on them throughout the season"

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