During the 2024 holiday season, online spending surged, with Black Friday sales reaching $74.4 billion globally, a 5% increase from 2023.
In the U.S., Black Friday sales climbed 7% to $17.5 billion, while Thanksgiving Day saw an 8% rise, generating $8.1 billion in sales. However, despite some discounting, the furniture sector lagged in terms of order volumes, though sales within the category saw modest growth.
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Salesforce, a company that monitors online spending, reported that while online furniture sales on Black Friday increased by 4% compared to 2023, the number of orders placed dropped by 1%.
Looking at the early weeks of November, AOV for furniture was down compared to last year—$360 for the first week (down 3% from 2023) and $356 for the second week (down 2.6%). Discounting within the furniture category was moderate, with an average discount rate of 18% on Thanksgiving and 19% on Black Friday. This is notably lower than the overall discount rate across all categories, which was 26% on Thanksgiving and 27% on Black Friday.
Other home goods categories, like dining, art, and decor, experienced more aggressive discounting, with average discounts of 36% on Thanksgiving and 30% on Black Friday. These sectors saw a significant boost in online sales, rising by 39% on Thanksgiving and 17% on Black Friday. However, during Cyber Week, sales in the dining, art, and decor category saw slight declines in AOV and units sold.
Regarding payment methods, 81% of furniture purchases were made using credit cards on Black Friday, while digital wallet payments rose by 41% compared to last year. The use of credit cards saw a modest increase of 3%, and PayPal transactions rose by 7%. Additionally, mobile devices drove 74% of furniture traffic during Cyber Week, with mobile traffic on Black Friday up 13% from 2023. Social media referrals accounted for 14% to 19% of traffic, peaking at 19% on Black Friday.
Source: www.furnituretoday.com