Black Friday sales surge to record

The number of bargain hunters over the U.S. Thanksgiving weekend rose sharply this year, a trend that seems set to continue as online sellers roll out their deals.

A record 226 million shoppers visited stores and websites during the four-day holiday weekendthat started Thanksgiving Day last Thursday,a rise from212 million last year, according to early estimates by The National Retail Federation released on Sunday.

"These are fantastic numbers and very encouraging toward the overall thesis that we're coming out of a recession," CBC business commentator Kevin O'Leary said of the data.

Those who ventured out to the mallsended up spendingmore, too: The average holiday shopper spent $398.62 over the weekend,compared to$365.34 a year ago.

Mall of America, the nation's largest mall, in Bloomington, Minn., broke its own record with about 210,000 shoppers on Friday.

American Black Friday saleshit $11.4 billion, upseven per cent, or nearly $1 billion from the same day last year, according to a report by ShopperTrak, which gathers data from 25,000 outlets across the country. It was the largest amount ever spent on that day and the biggest year-over-year increase since 2007.

Online, research firm comScore reported e-commerce sales figures jumped 26 per cent compared to last year from $648 million to $816 million. Indeed, online sales have been strong all month,withsales through Saturday rising 15 per cent compared with the same period a year ago. Through the first 25 days of the month, online sales have totalled $12.74 billion.

"The big question is: How do you close the season?" says Hana Ben-Shabat, a partner at A. T. Kearney's retail practice. "This is a very promotional-driven shopper."

Overall holiday spending is expected to grow a modest 2.8 per cent to$466 billion this year. Numbers like that are an encouraging sign for retailers that their efforts to lure cost-conscious consumers are working. Retailers depend on the busy holiday buying season for as much as 25 to 40 per cent of their sales.

'Cyber Monday' deals

As the initial surge of bricks and mortar sales tapers off, a lot of the sales activity moves online. Monday is Cyber Monday, historicallyone of the strongest days for online retailing.

ComScore said 50 million Americans visited online retail sites on Black Friday, up 35 per cent from a year ago.

It's arelatively new phenomenon in Canada, and isn't yet entrenched. Of the 25 largest retailers in Canada, only eight participate meaningfully in online commerce, retail consultant Doug Stephens says. Contrast that with the U.S., where 16 of the largest 25 retailers are major players online, too.

"It's getting more popular every year," said Derek Szeto, the founder of coupon website redflagdeals.com. "We saw a huge boost in the number of retailers who [participated in] Black Friday and they're carrying over a lot of their sales into Cyber Monday."