U.S. consumer spending on Cyber Monday this year is projected to be in the range of $10.2 billion and $11.3 billion, leaving little room for growth after last year’s $10.8 billion spend. Even if spending is on the upper end of the range, this will still result in stunted year-on-year growth, with 2020’s Cyber Monday spending exceeding 2019’s figures by almost 15%.
This declining growth rate is largely attributed to a lack of discounts and promotional deals that have been caused by global supply chain disruptions. In order to better manage inventory levels amid widespread product shortages, many retailers resorted to spreading deals over several weeks, a strategy that retailers hope will help to maintain inventory levels as the holiday season approaches.
Rob Garf, general manager of retail at Salesforce, announced that discount rates on Cyber Monday were on average 8% lower than what they were in 2020. He went on to dismiss the likelihood of any potential rebound in sales during the last few weeks of the year, stating: “There won’t be more presents under the tree this year. U.S. order growth across November is flat and consumers are purchasing 1% fewer items per transaction.”
