For Retail Professionals

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	October 24, 2005 US Online Holiday Sales Bring Good Tidings To Retailers by Carrie Johnson with Brian Tesch

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Executive Summary

Despite growing concerns over consumer confidence and the impact of gas prices, online sales will rise by 25% this holiday season to hit $18 billion. Although the Web will certainly feel the effect of these negative offline trends, the sheer number of new online shopping households — and the lure of free shipping for these shoppers — will sustain online sales through the end of December. After that, online retailers should brace for a weak Q1 due to offline gift card redemption, consumer disappointment with on-time holiday delivery, and skyrocketing heating prices.

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