Topic of the Week - Black Friday sales and new consumer shopping habits.
Black Friday and Cyber Monday have become major events in the global e-commerce calendar, driving significant sales growth. In 2023 the United States generated $12.4 billion via Cyber Monday sales, surpassing Black Friday's $9.8 billion. The UK is also seeing substantial growth, with Black Friday weekend sales forecast to increase by about half a billion pounds in 2024, setting a new record! But how are these transactions taking place? Are consumer spending methods changing?
TikTok Shop has reached a significant milestone in the United Kingdom, with over 200,000 active sellers on the platform. This growth is a remarkable increase from the end of 2023, and it's a testament to the platform's potential for e-commerce.
One of the key drivers of this growth is the increasing popularity of live shopping sessions on TikTok Shop. The platform has seen a 93 per cent daily sales growth over the past 12 months compared to the previous 12 months, with the Black Friday period expected to deliver triple-digit year-on-year growth. This surge in sales is a clear indication that TikTok Shop is becoming a go-to destination for consumers looking to make purchases online.
TikTok Shop's integrated shopping feature was initially launched in parts of Asia and later introduced to the UK in late 2021. While the response was initially tepid, the platform has seen a significant increase in adoption and sales over the past year. Despite the introduction of increased seller fees during the summer, the number of businesses on TikTok Shop has doubled compared to the end of 2023.
Looking ahead, TikTok plans to expand its shopping feature to continental Europe. While the timeline for this rollout remains unclear, the company has denied claims that the European rollout was "paused, delayed, or withdrawn". Beta-test invitations have been sent to various markets, but a broad launch in Ireland and Spain has yet to materialise. As the holiday season approaches, it will be interesting to see how TikTok Shop continues to evolve and expand its offerings.
eCommerce Market Stats
See some statistics relating to this week’s topics in the eCommerce market below.
Holiday Season eCommerce stats
- Total holiday season sales in the United States reached $753.9 billion in 2023, a 3.5% increase from 2022
- Online holiday sales reached $164.3 billion in 2023, a 14.5% increase from 2022
- 65% of holiday shoppers planned to do most of their shopping online in 2023
- The average holiday shopper spent $1,080 in 2023
*Statistics sourced from Statista
That’s all for this week…
If you would like to read more industry related news and insights, check out our articles below, or get in touch to discuss our services!
