Online spending hit a record $117 billion for 2004 as many buyers showed a preference for buying from retailers who had Internet and brick-and-mortar stores, according to market researchers comScore Networks.
“While it’s clear that a broad range of online merchants saw a strong season, multi-channel retailers were standouts this year,” said comScore senior vice president of industry analysis Dan Hess, releasing the company's findings January 10. “Many of the nation’s leading retail brands flexed their muscle this season, with strategies including faster delivery options, significant site redesigns and effective cross-channel promotions.”
The 2004 spending figure was a 26 percent jump over 2003's $93.2 billion, with holiday season shopping by itself accounting for $23.6 billion, 28 percent higher than the 2003 holiday season's $18.3 billion.
Blockbuster was the top Internet retail gainer for 2004, followed by LetsTalk.com, Overstock.com, ATTWireless.com, Ebates.com, T-Mobile.com, Zappos, Home Depot, Neimanmarcus.com, PeoplePC.com,Wal-Mart, Nordstrom, May Department Stores, Shopzilla, and Target.
Blockbuster left all the others far behind thanks in large part to its new DVD delivery service, which comScore said boosted online traffic "nearly fourfold" since 2003.
The holiday season splurge, comScore said, came from retailers letting customers buy online and pick up gifts at the brick-and-mortar stores, plus later shipping deadlines, gift card popularity growth, offline product shortages, and more broadband access.
