Cyber Monday delivers record online sales to select LI retailers
Some small Long Island retailers have record online sales on Cyber Monday.
But the day’s sales may not be reaching new highs for online retailing overall, as many consumers have started their holiday shopping earlier than usual, in part because of supply chain issues affecting store inventory.
“Consumers started shopping for the holiday season before Halloween. That’s when many major retailers started having their Black Friday sales,” said Alexa Driansky, vice president senior in retail practices at AlixPartners, a Manhattan-based consulting firm.
Already for the first time online spending for Thanksgiving and Black Friday did not exceed the amount spent on those days the year before, according to Adobe Analytics, a division of San-based software company Adobe Inc. Jose, California.
Adobe’s preliminary Cyber Monday data showed that $ 7.1 billion was spent online as of 9:00 p.m. EST Monday, but that did not include some overnight spending on the West Coast, which has a lag three hour schedule. Partial data suggests the growth rate was stable, Adobe said.
On Monday night, Adobe predicted that shoppers would spend between $ 10.4 billion and $ 11.1 billion in total online on Cyber Monday. Last year it was $ 10.8 billion.
Adobe originally predicted Cyber Monday online sales in 2021 to hit a record high of $ 11.3 billion, but the forecast was adjusted twice after Adobe saw online retail performance. Thanksgiving, Black Friday and, on a preliminary basis, Cyber Monday.
Still, some local retailers predicted on Monday afternoon that Cyber Monday would bring them record online sales.
Founded in 2012, Madison’s Niche is a Stony Brook-based home decor and womenswear retailer with five stores on Long Island.
The company’s online sales hit an all-time high, up about 30% around 3:30 p.m. Monday, compared to the same time last year, said Jennifer Roman, director of ecommerce and marketing for Madison’s Niche.
“It’s amazing. We’ve had a really good day so far,” she said.
The chain, which sells more than 100 clothing brands, offered a 25% discount on the most popular Free People, said Carolynn Watson, director of stores and purchasing.
The retailer filled most of its Cyber Monday online orders with a handful of workers in the back room of its Stony Brook store. When its inventory is low, orders can be filled in the other four stores.
Madison’s Niche overhauled its website to handle online sales in February 2020, unaware that COVID-19 would cause a pandemic and result in months of government-mandated business closures starting the following month.
“It was just a perfect storm,” she said.
Madison’s Niche online sales have doubled to 20% of all sales since April 2020, as the business has grown, Watson said. Sales in September were up 20% from the same month last year.
Lynbrook-based retailer Mixology, which primarily sells women’s clothing at 11 stores in the New York metro area and on its website, was offering a 25% discount online and in its stores on Cyber Monday.
At 4:30 p.m. on Monday, Mixology’s in-store and online sales were each on a record trend, 30% higher than the same day last year, co-owner Jordan Edwards said. Online sales represent 30% of Mixology’s turnover.
The channel broke Black Friday records last week, with daily sales 30% higher than same day in 2020 and 40% higher than same day in 2019, Edwards said.
He attributed the growth to a resurgence in leisure activities that were phased out during COVID-19, he said.
“Yeah, I think the customers are excited. They’re traveling. They haven’t been in two years.… And our customers are going to Florida. They’re going to Aruba. They’re going to holiday parties,” and they need the wardrobe for that, he says.
The five-day period from Thanksgiving to Cyber Monday has been known as the unofficial kickoff of the holiday shopping season and an indicator of the overall performance of the holiday retail season.
But buyers continue to start shopping earlier, especially this year due to supply chain issues, further reducing the importance of the five-day period.
Adobe predicted that Black Friday online spending would hit a record $ 9.5 billion, surpassing the $ 9 billion spent the day of last year.
But online spending on Black Friday last week fell to $ 8.9 billion, Adobe said.
Thanksgiving online spending was flat from last year’s holidays at $ 5.1 billion.
It was the first time that spending on those days did not exceed the amount spent on the same days a year earlier, Adobe said.