Cyber Monday occurs on the Monday after Thanksgiving as a continuation of the holiday shopping deals. This year, it falls on December 1, and it provides a virtual way for people to take advantage of holiday sales without facing the crowds for which Black Friday is famous.
The days following Thanksgiving highlight the numerous opportunities Americans have to buy buy buy. Between Black Friday, Small Business Saturday, and Cyber Monday, the five-day holiday weekend generated $41.1 billion in sales revenue in 2024. Cyber Monday alone generated $13.3 billion from United States online shopping, 7.26% above 2023 spending. Shoppers take advantage of the multiple days to make sure they are getting the best deals on everything they buy, from larger electronics, home appliances, and furniture that kick off with Black Friday to the clothing, digital subscriptions, and small electronics that top off Cyber Monday.
While deals have been starting earlier and earlier, average discounts on Cyber Monday items ranged from 30% off electronics to 23% off apparel. These are compared to prices on October 1 according to Capital One Shopping. With women’s apparel inflation falling 2% since September 2024, these Cyber Monday deals may give the American consumer an even bigger break than simply lower inflation.
According to the National Retail Federation (NRF), consumers are expected to spend $890 per person, on average, on holiday gifts, food, and seasonal decorations. This is only 1.3% lower than last year’s record high since the federation started the survey. The NRF also finds that 42% of shoppers planned to begin their holiday shopping before November. Early holiday shopping has been a part of the trend, with retailers beginning holidays earlier as well.
Not only are consumers nearing records with spending, the NRF estimates a record number of people are planning to shop the five-day weekend. Over 186 million people will shop holiday deals starting Thanksgiving Day and ending Cyber Monday. While Black Friday dominates the week with the expected number of shoppers, Cyber Monday is a close second with an estimated 73.9 million shoppers expected on December 1 this year.
Economists will be watching this shopping season for signals about the health of the economy. Consumer spending drives nearly two-thirds of U.S. economic activity, making it a key economic measure. With economic growth picking up to a robust projected 4.2% in Q3, a strong holiday shopping season will signal that the American consumer is confident about the economy despite rising unemployment and fears about tariffs, some of which have yet to take effect.
What Are People Buying?
An analysis of the top categories shopped on Cyber Monday found that electronics, home and kitchen, and clothing dominate the sales, making up a combined 46.7% of the sales in the United States. These same categories dominate the sales on Cyber Monday in other countries as well. Retailers have captured several markets across the world when it comes to the Thanksgiving celebrations.
Not only is the American holiday making a mark on other countries’ calendars, retailers are stretching Cyber Monday deals beyond the single day as well. The drawn-out deals may mean fewer shoppers on the precise day, but it still means retailers are able to capture more people with a longer buying season.
Bottom Line
Thanksgiving deals dominate the shopping and often help consumers get a head start on holiday gift buying. Cyber Monday brings an end to the five-day weekend and allows buyers to grab any deals they did not take advantage of in the days prior. With record shoppers and spending expected, Cyber Monday may be a strong sign that consumers will spend what they can, despite many going without pay for all of October and much of November.