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Online Holiday Sales Will Grow This Year Too.


Online Holiday Sales Will Grow This Year Too.


eCommerce holiday sales are expected to double or quadruple for Holidays 2016. The National Retail Federation (NRF) forecast projects a rosy picture for eCommerce businesses, projecting a jump by 10% in non-store holiday sales.  Deloitte has come up with even better forecast, projecting online holiday sales growth by 19% in contrast to the last year statistics. Certainly a lucrative opportunity for online businesses!

Non-store sales are expected to rise to $117 billion for the holiday season. This includes online sales made via phone and catalog. In the 2015 holiday season, eCommerce holiday sales rose 9%, crossing NRF’s projected 6-8%.


In fact, NRF projects the total holiday retail sales to rise to $655.8 billion this holiday season. However, in 2015, total holiday sales were reported to be less than what the NRF had projected.


NRF projects holiday sales statistics based on an economic model, which uses different indicators, such as disposable personal income of consumers. This also includes consumer credit and retail sales releases of previous months.

According to NRF President and CEO Matthew Shay, it is expected that holiday sales would balloon this season even though the year hasn’t been perfect, with its unending summer season. The NRF president is hopeful that things will change for the better, with a steady momentum of the economy.

Related: Don’t Make These 5 Key eCommerce Mistakes for the Holidays.


Different Company, Different Stats.

Deloitte has come up with different statistics, though it also forecasts a growth of online holiday sales. The retail and distribution practice projects online sales to reach $96 to $98 billion from November to January, expecting a 17% – 19% increase from 2015. As far as its total holiday sales forecast is concerned, it has projected an increase by 3.6-4% compared to previous year.

Research firm eMarketer Inc. has come up with even better forecast, expecting eCommerce to grow 17.2% -$94.71 billion in the 2016 holiday rush season, from November to December 2016. Total retail sales are projected to increase 3.3% or $884.50 billion compared to last year.

Related: 5 Psychological Ways to Increase Upsells and Cross-Sells for the Holidays.


Online Shopping Influence.

Digital influence is expected to be even greater this season, which means a spike in the use of laptops, desktop, tablets and smartphones for shopping. Digital interactions may influence 67% of retail store sales during the season. This means shoppers use digital media for researching products online before actually buying them in stores or placing orders online and picking up their merchandise in stores or the store shipping the same to a customer’s home.

Of course, you know by now that different digital mediums influence each other. This is exactly what big eCommerce players and social networking platforms are focusing on in their pursuit to improve sales. Offering access to visuals, facts, and buying sources is one of the best ways to improve the shopping experience. With these bigger platforms being more connected to the customer, it would help retailers to include them in their digital marketing campaigns for the coming holiday season.

Related: How to Get In and Succeed in Omnichannel eCommerce.


Growing Competition From Small Businesses.

Who is stealing the sales share from traditional retailers?

The biggest competition for large, traditional retailers comes primarily from small and middle-sized businesses that focus on niche products and offering a better user experience. Surprisingly, statistics reveal that small and midsized retailers have outperformed and stolen about $200 billion in annual sales from traditional retailers over the last five years.

The sales mantra has changed from competing on low-price, low value products to differentiated products and experiences. Gone are the days of conventional sales events and promotions. You need to focus on the right direction to boost your 2016 online holiday sales.

Related: Outsource Order Fulfillment to Boost Holiday Sales.


Bottom Line

The holidays rush season comes every year and almost yearly, it is better than previous years. It is a time that most reatilers wait for and plan for. Make sure that you are ready for the holidays.



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