Home / / Global 2019 holiday digital sales grow 8 percent to $723 Billion

Global 2019 holiday digital sales grow 8 percent to $723 Billion

Salesforce found that 10 percent of digital orders during the holiday season were powered by AI

Global 2019 holiday digital sales grow 8 percent to $723 Billion
Rob Garf, VP, Industry Strategy for Retail, Salesforce

Salesforce data showed an 8 percent increase in digital spend over the 2019 shopping season, with $723 billion in digital revenue worldwide.

For its report, Salesforce combined insights on the activities of hundreds of millions of global shoppers across more than 30 countries powered by Commerce Cloud, billions of consumer engagements powered by Marketing Cloud. This season's top retail highlights and trends include:

● Brands pushed consumers to start holiday shopping early: Early marketing activity was a success in generating buzz the week leading up to Cyber Week with digital traffic growing 13 percent over the same period in 2018. Shoppers filled their online baskets but waited for Cyber Week to place their orders, with digital orders up 9 percent over the same 2018 period.

● AI eliminated guesswork for shoppers: AI-powered search and product recommendations drove additional revenue for retailers this holiday season, as 10 percent of digital orders and 5 percent of digital revenue came from AI-powered recommendations.

● Cyber Week 2019 broke records: Cyber Week 2019 was a record breaker, with global digital revenue growing 15 percent to $143 billion.

● Early season buying frenzy leads to late season softness: Digital revenues fell 27 percent year-over-year during the week leading up to Christmas. This was likely due to a smoothing out of demand throughout the year—from shoppers buying gifts as early as the summer to take advantage of manufactured holidays or going into physical stores on the cusp of the shipping cutoff date to avoid hassles with delivery.

● Mobile shopping supreme: The year 2019 ended with mobile being the number one device driving digital traffic and orders. To put that into context, the decade began with mobile driving very little digital traffic or orders. This holiday season, peak days like Christmas saw up to 80 percent of digital traffic and 65 percent of digital orders come through a mobile device.

"Throughout the 2019 holiday shopping season, retailers saw success with mobile commerce, store pick up and personalization via artificial intelligence and social engagement, removing friction in the ways shoppers browsed and purchased," said Rob Garf, VP, Industry Strategy for Retail, Salesforce. “Mobile certainly catered to people on the go this holiday season and in 2020 brands should be looking for ways to integrate this experience into physical stores for a true omnichannel shopping journey.”

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