Did you log on and do a little holiday shopping last Thursday while your holiday feast was cooking? If so, you are not alone. MarketWatch reported consumers spent $1.1 billion between midnight and 5:00 p.m. eastern time on Thanksgiving Day. That was a 22 percent increase over the year before.
After taking a break to give thanks, gorge on Thanksgiving delicacies, and enjoy family time, consumers fired up their devices again – more than one-third of sales were made via smart phone or tablet – for round two in the online shopping arena. On Friday, between midnight and 11:00 a.m. eastern time, they spent another $822 million. That’s 15 percent more than last year. In total, Black Friday sales were expected to be about $2.6 billion.
By Friday morning, out-of-stock rates were reported to be double the level they normally reach this time of year. So, prepare for the possibility shoppers may be rabidly seeking more than one extremely popular gift item as we head deeper into the holiday shopping season.
That’s a more welcome turn of events than 1953’s glut of unsold turkeys. The Fiscal Times reported Swanson got started in the frozen dinner manufacturing business when it finished Thanksgiving with 260 tons of extra turkeys. Its solution was to package sliced turkey with trimmings on aluminum trays. In 1954, the company sold 10 million frozen turkey dinners and a new industry was born.
Since investors were concerned about weaker than expected retail sales just a couple of weeks ago, if retail spending continues to be strong in coming weeks, it could affect investors’ confidence and outlook.