Valentine’s Day becomes a major online shopping time

Hallmark.com wasn’t the only Valentine’s Day-related site experiencing heavy traffic (see Hallmark story). Payments processor and provider of security systems VeriSign Inc. reports that Valentine’s Day online spending increased by 30% this year over last, reaching $3.9 billion from Feb. 1 to Feb. 14.

VeriSign’s projections are based on analysis of online sales volume processed through VeriSign Payment Services, which handle more than 37% of all North American e-commerce and represents more than 127,000 online retailers.

VeriSign reports:
• Online spending in the candy category increased 25% in 2005 compared to the same time period in 2004.
• Online spending in the flower category increased 16% in 2005 vs. 2004. The number of online transactions on Valentine’s Day itself jumped 349% as compared to 2004.
• Online spending in the greeting card category increased 50% in 2005 vs. 2004.
• Online spending in the jewelry category increased 34% in 2005 vs. 2004. Diamonds led all subcategories with a 130% increase in consumer spending year over year. The diamonds category also held the highest single-item average ticket price of $427.

VeriSign also found that Tuesday, Feb. 1—the first day of the period that VeriSign measured—was the peak online shopping day, accounting for 5.3 million transactions, representing more than 10% of activity from Feb. 1 through Feb. 14. The average sale during the time period was $144, a 2% increase from a year ago.

ComSCore Networks Inc. reports that online sales in the Flowers, Gifts & Greetings category last week were $124 million, the second highest weekly total ever recorded for the category, up 40% from the corresponding week last year. Sales last week peaked on Friday, with approximately $32 million spent in the category. The week ending 12/19/04 is the record holder, with $152 million in sales.