Record Online Holiday Spending Reached $1.2 Trillion

During the 2024 holiday season, U.S. online spending reached a record $282 billion, reflecting a 4% increase from last year, according to Salesforce, while Adobe Analytics reported $241.4 billion in online sales, marking an 8.7% year-over-year growth. Globally, online sales hit $1.2 trillion, up 3% from the previous year, with significant contributions from social media and AI tools, which influenced 19% of global online orders. However, retailers face challenges from a notable spike in return rates, which increased by 28% compared to last year, potentially reaching $133 billion globally. Mobile shopping was particularly strong, accounting for 54.5% of online purchases in the U.S., with Christmas Day seeing the highest mobile sales at 65%. The rise in returns is attributed to consumer behaviors such as ordering multiple sizes and intent to return items. Retailers are advised to leverage AI solutions to mitigate the impact of returns and enhance customer engagement moving forward.