The Holiday Effect: Cyber Monday’s Impact on Business and Consumers

Online shopping has become one of the easiest and most convenient ways to shop, especially during the holiday season. When malls and stores become crowded, and the weather makes it difficult to leave the house, consumers can be sure that all of their holiday shopping plans are not ruined because internet retailers remain unaffected by the problems that plague the malls.

Accordingly, during the holiday season, “Cyber Monday” has come to be known as one of the most profitable days of the year for retailers, even besting the notorious “Black Friday.” eCommerce retailers can be sure that this day will contribute to their bottom line like no other day of the year.

The Numbers

The effect Cyber Monday has come to have on retailers is astounding. BusinessInsider reported that in 2014, the results from Cyber Monday shopping “shattered records.” All around, sales were up, and at a time when eCommerce transactions may be eclipsing in-person shopping, “strong Cyber Monday results could help offset plummeting sales on Black Friday.”

Additionally, TechCrunch states that “Cyber Monday 2014 was’s biggest day in history for online orders.” For retailers, this single day can provide benefits that positively impact their bottom line for the entire year.

PCWorld reports that this trend of heavy online shopping on the Monday following thanksgiving has demonstrated consistent yearly growth in popularity, and there are no signs of slowing down.

The hype surrounding the day is unheard of on other days of the year, and retailers and marketers can play into the hype in order to solicit yet more sales. Frequently, bloggers, television shows, radio, and other mediums report on the best deals of the day, and for a retailer to be included in this is essentially free advertising.

Impact on Retailers

Additionally, by offering amazing deals on popular products, retailers can benefit from the overall web traffic to their site via ad-clicks and the exposure to discounts on products a customer may not have known they wanted. Customers are put in a position where they cannot pass up products at the price they have discovered them for.

Retailers may also be able to offer additional incentives to obtain email addresses, other customer information, and even credit account openings from Cyber-Monday shoppers when they offer even-better deals to those who participate. In doing this, retailers have been provided free market research, and increased credit openings that lead to continued business long after cyber monday is over.

Retailers can also play on the hype surrounding the day by offering discounts on a major product, but less-steep discounts for accompanying products. For example, take a retailer who offers a significant discount on a game system, but offers a much less generous discount on items such as controllers, headsets, and cases. This allows the customer to purchase the key component in order to be compelled to spend more money on the accompanying products.

Retailers may also be able to bundle these types of products in order to move more inventory, where in the shopper’s mind, this bundling of products is a special, cyber-Monday deal, and is easy to give as a gift because everything the person needs is included with just one purchase.

Impact on Consumers

Cyber Monday also creates a sense of urgency in the buyer’s mind. This “one-day-only” sale happening at the height of the holiday shopping season has a timer ticking all day long. Shoppers may be enticed to spend more than they would have on gifts because they feel as though they are getting more for their money, and that if they don’t make the move soon, they may lose the deal altogether.

There is less time to for the consumer to think about if they really need a gift, and they may just purchase something because the price is too good to pass up. Additionally, the volume of sales may create a situation where retailers are selling-out of items, and the customer has to buy the item soon, or miss out entirely. In this case, the retailer is able to play into the urgency and watch consumers compete with each other to buy their products.

Additionally, the deals to be found on this day make it one of the best days of the year for a customer to shop, especially when they plan on making large purchases. Purchases on things like TVs, computers, and appliances can be found for a significant price. This kind of thing goes along with the hype aspect of Cyber Monday because consumers know that this day will demonstrate the absolute lowest price they will get the goods for all year, so a patient deal-grabber can plan for a guaranteed steal on this day.


Altogether, Cyber Monday has come to impact both retailers and consumers in the best way possible. The retailers benefit from hype that has made Cyber Monday the busiest day of the year, during the critical holiday shopping season. At the same time, the customers benefit from the rock-bottom prices being made available online, so that they do not have to endure the chaos that is Black Friday. With benefits like these, you can be sure that Cyber Monday 2015 will be as big as ever.

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