Online Retailers Off to a Good Start for the Holidays
Nov. 19, 2012
One of the first measures of holiday spending launched today and it brought good news for online retailers. The first report from the Chase Holiday Pulse was released this morning and it shows online sales for the week of October 29 through November 15 increased 12.3 percent from the same week last year. The number of online transactions also grew, leaping 25 percent on a year-over-year basis. Average ticket size of an e-commerce transaction, however, continued a trend from last year falling just over 10 percent.
“The improvement in October’s University of Michigan’s Consumer Sentiment over last year’s reading leads us to believe that overall holiday sales (over November and December) should rise by as much as 4.5 percent (on a year-over-year basis) versus last year’s 3.3 percent figure,” said Anthony Chan, head economist for JPMorgan Chase. “Additionally, the recent rise in housing prices and the healthy (year-to-date) jump in U.S. equity prices are likely to put downward pressure on U.S. savings rates and thereby provide some support to holiday sales this year.”
E-commerce processor Chase Paymentech has been tracking aggregated sales data from 50 of its largest online retailers for the survey for seven years.