Cyber Week 2023 results are in – and they’re better than expected. According to data from Adobe Analytics, Cyber Week brought in approximately $38 billion, up 7.8% from 2022. Shoppers spent a total of $12.4 billion on Cyber Monday (9.6% YoY increase), slightly surpassing Adobe’s initial projection and making 11/27/23 the biggest online shopping day in history.
“The 2023 holiday shopping season began with a lot of uncertainty, as consumers shifted their spending to services, while dealing with rising costs across different facets of their lives,” said Vivek Pandya, a lead analyst at Adobe Digital Insights, in a statement. “The record online spending across Cyber Week, however, shows the impact that discounts can have on consumer demand.”
Amazon’s Cyber Week 2023 Results
Amazon reported equally strong results. While it typically doesn’t release sales figures, Amazon confirmed that its Black Friday and Cyber Monday holiday shopping events (which actually took place from November 17 to November 27) generated more revenue than the same 11-day period in previous years. Below are a few key callouts from Amazon’s Cyber Week performance:
- Customers around the world purchased more than one billion items on Amazon
- Amazon shoppers saw a nearly 70% increase in savings
- Amazon hosted the first-ever Black Friday NFL football game, which featured shoppable ads available to all customers (not just Prime Members)
- Buy with Prime orders surged 300% versus the daily average for October 2023
Cyber Week 2023: Predictions vs. Results
Each fall, Adobe releases its annual holiday shopping forecast – one of the most respected reports detailing consumer trends for Cyber Week. Below is a rundown of Adobe’s top predictions for this year, along with the actual results.
PREDICTION #1: Cyber Week will drive a record-setting $37.2 billion in online spending, up 5.4% YoY.
- ACTUAL: Consumers spent $38 billion overall online during Cyber Week 2023, up 7.8% YoY.
PREDICTION #2: For the first time, more than half of this year’s holiday spending will take place on mobile devices.
- ACTUAL: Mobile devices accounted for $5.3 billion in sales on Black Friday, up 10.4% YoY, representing 54% of online sales.
PREDICTION #3: A record number of shoppers will use Buy Now, Pay Later during Cyber Week 2023.
- ACTUAL: Buy Now, Pay Later hit a record high on Cyber Monday, generating $940 million in online spending, up 42.5% YoY.
PREDICTION #4: Brands will offer record discounts during Cyber Week to attract shoppers.
- ACTUAL: Average discounts on toys peaked at 35% off the listed price, electronics peaked at 30%, apparel peaked at 23%, and appliances peaked at 18%.
Channel Key Client Results for Cyber Week 2023
Channel Key clients experienced significant year-over-year growth in sales during Cyber Week 2023 on average. Specifically, brands saw a 23% increase on Black Friday and a 45% increase on Cyber Monday. This lift in sales was reflected relatively equally across all categories.
“The biggest surprise to me was how strong Black Friday was compared to Cyber Monday and historical Cyber Fridays,” said Alice Rangel, Strategic Brand Manager for Channel Key. “This is likely due to Amazon’s big push on shopping early, beginning with Prime Big Deal Days in October and moving into early Black Friday deals in November.”
Another interesting callout is the type of products shoppers purchased during Cyber Week. “People are no longer using Black Friday and Cyber Monday just to buy holiday gifts,” said Melanie Harrison, Director of Client Services for Channel Key. “More shoppers are using this sale period to purchase everyday necessities and big-ticket items that they’ve been eyeing.”
Below is a snapshot of how Channel Key clients in various categories performed during Black Friday and Cyber Monday compared with last year:
Similar to 2022, Prime Exclusive Discounts were the most effective promotion type during Cyber Week. However, Channel Key clients also enjoyed strong results with Coupons and Lightning Deals. Below is a screenshot showing results for one of Channel Key’s most successful Lightning Deals that ran during Cyber Week 2023 (thanks to prominent placement by Amazon):
One Last Tip for Analyzing Your Brand’s Cyber Week Performance
One of the biggest mistakes a brand can make when evaluating Cyber Week performance is not considering its lifetime value. Many brands focus on the initial sale performance and not the value it will bring down the line. For example, a single purchase during Black Friday or Cyber Monday can lead to multiple purchases down the road. Remember, your holiday discounts, ad placements, and pricing strategy are investments in the future growth of your business. A disappointing Cyber Week performance (in terms of immediate revenue) can become profitable over time.
Channel Key Takeaway
By all accounts, Cyber Week 2023 was a success. The multi-day event generated a record $38 billion in sales. However, it’s important to note that Cyber Week has changed significantly over the years – largely due to Amazon. For example, Amazon’s Cyber Week began November 17 and lasted a full eleven days. Also, this is the second year in a row that Amazon hosted a fall Prime event. This year’s Prime Big Deal Days, which took place in October, generated an estimated $8 billion in sales. Some analysts argue these events cannibalize sales from Cyber Week.
The point is: holiday shopping continues to evolve. It’s important for brands to stay ahead of these changes rather than risk falling behind. With this in mind, Channel Key recommends continuing your advertising and promotions during the weeks leading up to Christmas – just like Amazon is doing. The ecommerce giant announced it will be dropping new deals every day through December 24. Use this time to promote your best-selling products and reengage with shoppers who browsed items but didn’t make a purchase. On behalf of all the Amazon experts at Channel Key, we wish you and your brand continued success during the final stretch of the holiday shopping season.
