Whether we know it or not, most of us will be using AI during the busy holiday shopping season.
Holiday shopping online hit a record $241.4 billion during the 2024 season. It was fueled in part by AI-powered generative chatbots that increased traffic to e-commerce sites, according to Adobe Analytics.
Online spending between Nov. 1 and Dec. 31 rose nearly 9% year over year, according to the latest figures from Adobe Analytics. For 15 days during the shopping period, spending reached more than $4 billion in a single day, up from 11 days in 2023.
For its US e-commerce analysis, Adobe analyzes online commerce transactions, covering over 1 trillion visits to US retail locations, 100 million SKUs and 18 product categories.
FINANCIAL EXPERT SHARES YEAR-END MONEY MOVES, AVOID HOLIDAY CREDIT CARD HANGOVER
As part of its analysis, Adobe also found that traffic to retail locations from generative chatbots powered by AIwhen customers click on a link to a retail site, it increased by 1300% compared to the previous year. On Cyber Monday, traffic increased 1950% compared to the previous year because of these chatbots.
Online spending between Nov. 1 and Dec. 31 rose nearly 9% year over year, according to the latest figures from Adobe Analytics. (Xavi Lopez/SOPA Images/LightRocket via Getty Images/Getty Images)
This data highlights the value such bots play as shopping assistants, according to Adobe.
PERSONAL SHOPPING IS BACK IN THE MIDDLE OF THE HOLIDAY SEASON OF RECORD SPENDING
In a recent Adobe survey of 5,000 US consumers, 70% of respondents who used generative AI for shopping said it improved their experience. About 20% of respondents turn to such technology to find the best deals, according to the data. Just under 20% use it to find specific items online, and 15% use it for brand recommendations.
Adobe also found that customers are relying on mobile devices to shop more than ever before, with smartphones driving more than 54% of online purchases. Almost 80% of buy-now-pay-later transactions were made via smartphone.
Adobe found that customers are relying on mobile devices to make purchases more than ever before, with smartphones driving more than 54% of online purchases. (Jakub Porzycki/NurPhoto via Getty Images / Getty Images)
Adobe Digital Insights lead analyst Vivek Pandya said the season proved that “e-commerce is being reshaped by the consumer who now prefers to transact on smaller screens and relies on AI-powered generative services to shop more efficiently.”
CLICK HERE TO SET FOX BUSINESS IN CRETE
Retailers also provide “new services and experiences that capture the attention of consumers, many of whom are now online shopping in different waysPandya said.
