ccording to Adobe Analytics, the 2024 holiday season was one for the record books for e-commerce, with mobile devices driving more than half of all online purchases. Consumers spent a record $241.4 billion online from November 1 to December 31, 2024, an 8.7% increase compared to the previous year. Key trends included a sharp rise in mobile transactions, AI-driven shopping assistance, Buy Now Pay Later use at checkout, and a growing preference for higher-ticket items driven by competitive discounts.
Smartphones dominated online retail, accounting for 54.5% of all transactions during the season, surpassing the 51.1% share in 2023. Christmas Day saw mobile shopping peak, with 65% of online sales.
Meanwhile, strong discounts across several categories drove heightened demand, particularly for higher-ticket items. Sporting goods, electronics, and appliances saw notable increases in the share of the most expensive items sold, with units sold in these categories rising by 54%, 48%, and 35% respectively. Discounts across electronics (30.1%), toys (28%), and apparel (23.2%) led to an overall $2.25 billion boost in online spending.
AI-driven shopping assistants, particularly generative chatbots, saw a massive 1,300% year-over-year increase in traffic to retail sites. On Cyber Monday, chatbot usage surged by nearly 2,000%. Consumers increasingly turned to AI for tasks such as locating the best deals, finding specific products, and receiving brand recommendations. According to an Adobe survey, 70% of users of AI-powered shopping assistants reported a better shopping experience.
Adobe Digital Insights Lead Analyst Vivek Pandya said, “The 2024 holiday season showed that e-commerce is being reshaped by a consumer who now prefers to transact on smaller screens and lean on generative AI-powered services to shop more efficiently. It presents opportunities for retailers to deliver new services and experiences that capture the attention of consumers, many of whom are now shopping online in different ways.”
The Buy Now, Pay Later (BNPL) payment option saw robust growth during the 2024 holiday season, contributing $18.2 billion in online spending. Smartphones accounted for 79.1% of BNPL transactions, with Cyber Monday marking the highest volume of BNPL purchases in the season. Consumers are increasingly using BNPL to purchase electronics, apparel, video games, and even groceries.
Overall, the 2024 holiday season highlighted the continuing evolution of e-commerce, with mobile shopping, AI assistants, and flexible payment options driving consumer behavior.
Unlock the full insights from the report here: https://business.adobe.com/resources/holiday-shopping-report.html
Read more on Loyalty360:
Leveraging AI for Scalable Personalization for Marketing Success
6 Common Retail & e-Commerce Loyalty Mistakes
Navigating Gen Z's Expectations: Fat Brands' Digital Strategy for the Mobile-First Consumer