While most retailers were looking at dismal holiday shopping seasons this year, online retailer Amazon.com (NASDAQ: AMZN) announced that it had its best holiday season in history.Early indications are showing that retail sales figures could be down as much as 5.5 to 8% during this year, as rising unemployment and general concern over the economy has led to most consumers tightening up their spending this year.
Amazon, which has probably actually been benefiting from the current economic slowdown, saw massive sales on December 15, which is typically the company's strongest day of the year. This year it saw sales of 6.3 million and shipments of 5.6 million units on the 15th, its strongest day in history.
We looked earlier this week at how Amazon has been able to steadily gain market share from eBay (NASDAQ: EBAY), which has seen its holiday shopping traffic drop by around 16%, while Amazon on the other side of the coin was witnessing a traffic increase of a modest 6% between November 3 and December 14, when compared to the same period last year.
Hot-selling items this year for Amazon were the very popular Nintendo Wii video game, Apple (NASDAQ: AAPL) iPod's and Blokus board games.
Where did you do your online shopping this holiday season?
Michael Fowlkes has worked as a stock trader for seven years and spent the last four years working as an analyst for the online investment advisory service Investor's Observer.











Reader Comments (Page 1 of 1)
12-26-2008 @ 6:38PM
Iceman said...
I purchased several items on Amazon this year. I have abandoned Ebay after finding higher quality products on Amazon with low prices and no hassle billing. Verifying my account in Paypal became a real hassle. With Amazon no problems at all they keep my information and I don't have to keep entering it or go through any unnecessary steps. Shipping is also reasonable if not free. The merchants I have dealt with that were related to Amazon have also been honest and trouble free. I have no reason to go back to Ebay and will be making several more purchases this weekend.
12-26-2008 @ 6:36PM
Michael said...
People moan and groan over sales or lack of sales in stores and this is the exact reason why so many of the smaller mall stores and most department stores are dropping off like flies just sprayed with insecticide. Online sales and sales on the shopping channels are killing the retail industry. Department stores need to develop their own shopping channels and more to compete. If a business is service oriented, it will survive if they do good work and they are not too pricey. If you can't get it online or on the shopping channels, you can do well. Shipping businesses are doing gangbuster business. Due to as I said. The point is this. The typical American blames the politicians for the drop in sales and more, when that has nothing to do with it. Blame the unions yes, but the government for lack of sales. Hell they are suffering too from lack of sales tax being paid. Anything shipped out of state is not taxed.....so what is next?
12-26-2008 @ 7:38PM
Mickey said...
Amazon offers some great deals and I usually find what I'm looking for.
12-26-2008 @ 9:16PM
Julius said...
If I want to buy something I would never go to ebay - it's total scam. I lost some money with ebay and ebay never was able to recover/refund my money. I don't like to go through bidding either. I bought few things through Amazon and it was good experience. So I canceled my ebay account.
12-27-2008 @ 12:47AM
Jan said...
I bought almost all of my Christmas stuff plus alot of household things this fall off the internet. I bought from sites like Target and K-mart as well as Amazon, Ebay and several smaller speciality sites. I paid some shipping fees but much was free. I saved myself from impulse buying,using gas, finding a parking space, fighting crowds, standing in line and dealing with rude peo;le. I have been very happy with my purchases. I had to exchange one item and it was hassle free! I have always hated shopping so the internet has made it easy for me not to have to go there! How nice to have a low stress holiday! Now, if only I could buy groceries online,,,,sigh