US consumers spend record $257.8 bn online during 2025 holiday season

Of the $257.8 billion spent online this holiday season, apparel was the second-largest spending category, generating $49.0 billion in sales, a 7.4 per cent year-on-year increase, highlighting sustained consumer demand for fashion despite ongoing cost pressures.

Mobile shopping hit a new milestone, with the majority of online transactions (56.4 per cent) taking place through a smartphone this season (up from 54.5 per cent in 2024); Mobile shopping was highest on Christmas Day, driving 66.5 per cent of online sales (vs. 65 per cent in 2024), followed by Thanksgiving Day at 61.6 per cent mobile share (vs. 59.3 per cent in 2024).

Record online spending this season was bolstered by a strong Cyber Week (the five days from Thanksgiving to Cyber Monday), which brought in $44.2 billion online overall, up 7.7 per cent y-o-y. Cyber Monday remained the biggest e-commerce day of the season (and year), driving $14.25 billion in online spend, up 7.1 per cent y-o-y. Cyber Monday growth was outpaced by Black Friday ($11.8 billion, up 9.1 per cent y-o-y), as consumers embraced earlier deals. On Thanksgiving Day, consumers spent $6.4 billion online, up 5.3 per cent y-o-y.

Generative AI-powered chat services and browsers have become an integral tool for consumers to find deals and research products. This season, traffic to retail sites from generative AI tools (shoppers clicking on a link to a retail site) increased by 693.4 per cent compared to the year prior. On Cyber Monday, AI traffic to US retail sites increased by 670 per cent. While the base of users remains modest, the uptick shows the value AI can deliver as a shopping assistant.

“This 2025 holiday season, consumers embraced generative AI more than ever as a shopping assistant in their purchasing decisions,” said Vivek Pandya, lead analyst, Adobe Digital Insights. “Competitive discounts and flexible payment options like Buy Now Pay Later also contributed to driving record spend of $257.8 billion throughout this holiday season.”

Usage of the flexible payment method hit an all-time high this holiday season, contributing $20 billion in online spend, up 9.8 per cent y-o-y and representing $1.8 billion more than the last season. Smartphones are the device of choice for consumers leveraging this flexible payment method, driving the vast majority (82.2 per cent) of BNPL purchases this season. Additionally, Cyber Monday was the biggest day on record for BNPL, crossing the $1 billion milestone ($1.03 billion, up 4.2 per cent y-o-y).

ALCHEMPro News Desk (RR)