Online Sales Growth Slower as Stores Reopened After Lockdowns: Adobe

Labor Day weekend e-commerce sales were below forecast, “even for a world without COVID-19 and lockdowns,” blogged Adobe Monday. E-commerce spending during the three-day Labor Day weekend was $2.6 billion, up 12% year on year; prior-week sales grew 33%, said Adobe’s Digital Economy Index.

Online shopping activity declined in August as more physical stores reopened following lockdowns, Adobe said. Online sales rose 42% in August year on year to $63 billion, “markedly lower” than July’s 55% bump over the 2019 period. Use of buy online, pick up in store (BOPIS) fulfillment jumped 59% in August and 259% year on year. An Adobe survey said 30% of online customers prefer using BOPIS or curbside pickup over home delivery.

Through August, the year has seen 130 days of $2 billion-plus online receipts in the U.S., vs. just two $2 billion days -- outside the holiday season -- in 2019. Each May and June day exceeded $2 billion in online sales, Adobe said, and three days passed $3 billion vs. none outside the holiday season last year.

The pandemic drove an extra $107 billion in online spending March through August, said Adobe, with the first eight months of 2020 generating $497 billion. Smartphone sales were 40% of the online dollars, reaching $190 billion; mobile shopping will surpass 50% of e-commerce volume by next September, the researcher forecast.

CE sales grew 3% in August, matching the growth rate of groceries, while online apparel sales fell 3%, it said. Among trends in August, a third of consumers said their online packages arrived later than expected; 27% said they felt more comfortable shopping in physical stores vs. in July.

Looking ahead, “there may never be another holiday season quite like holiday 2020,” said John Copeland, Adobe vice president-marketing and customer insights:​ “Both in-store and online experiences will be different than in years past, as stores become more contactless to abide by social distancing rules and digital channels work harder to convert shoppers into buyers." The holiday season, which started earlier last year, "will likely get here even earlier this year," Copeland said. "2020 has been a difficult year, and consumers are looking forward to the comfort of the holiday season.”