Behind the legend of Cyber Monday

Today is Cyber Monday, which is to the internet what Black Friday is to brick-and-mortar retailers. The past two years, there's been a bit of an unfair Cyber Monday backlash. People began labeling it a myth, pointing out that the web's biggest shopping day actually comes later in the month, closer to Christmas, and that Cyber Monday is merely a media construct. All that is true, but Cyber Monday was never intended to be taken as the biggest shopping day of the year but merely as the kickoff to the online shopping season, and there's no doubt that it actually fulfills that role. Much like Black Friday for brick-and mortar stores, Cyber Monday is the day when web retailers march out their special holiday deals, and spending could even rise this year as cash-strapped consumers shop for the best bargains. Last year Americans spent $846 million on Cyber Monday, $41 million less than the biggest spending day, Dec. 9. EMarketer senior analyst Jeffrey Grau and Shaukat Shamim, chief executive officer and co-founder of online ad network Permuto, talk to Media Life about the myths and misperceptions about Cyber Monday.

Do you think sales will be up this year on Cyber Monday? Why or why not?

Grau: I believe so. EMarketer is predicting online holiday sales this year will rise 5.4 percent, and more retailers are offering Cyber Monday promotions to entice shoppers.

Shamim: I think this year Cyber Monday will be bigger than last year due to the fact that many more people are turning to the web to shop and research products to buy.

In fact, we have seen many more people starting earlier and earlier to research what types of deals and offers will be available online so they can prepare for Cyber Monday deals.

This is evidenced by the fact there has been an increasing amount of searches for Cyber Monday since Sept. 13.

Where does the concept of Cyber Monday originate?

Shamim: Cyber Monday was coined as marketing event in 2005 by Shop.org. The term was created based upon what Shop.org saw--that an overwhelming number of online merchants saw significant increases in sales on the Monday after Thanksgiving.

Is Cyber Monday really a media/marketing construct, or is it actually the biggest web shopping day of the holiday season?

Grau: I agree it is a media/marketing construct intended to create for online retailers the same sort of shopping excitement that Black Friday does for store retailing.

But Cyber Monday is moving up the ranking of biggest online spending days. Last year, according to comScore, it ranked third.

The year before that it ranked much lower--somewhere around 8th or 9th.

If it's not the biggest day, why does the myth of Cyber Monday persist?

Grau: More retailers each year offer Cyber Monday promotions, and a web site has been created where many of them are displayed together.

Shamim: Cyber Monday serves its purpose as the official kickoff of the online holiday shopping season.

It is as if people are shifting into shopping mode during this time and started their holiday shopping.

When will the day with the biggest actual web spending come, and why?

Grau: Traditionally the biggest online spending day has been 10 days to two weeks prior to Christmas.

Shamim: The biggest online shopping days every year are roughly two weeks prior to Christmas, typically between Dec. 9 and 12. Much of the reason for this is focused around deadlines for free/low-cost shipping for different merchants.

How many marketers offer Cyber Monday promotions? Is this more or less than you see for Black Friday, Free Shipping Day or later in the holidays?

Shamim: Cyber Monday is a bit of a self-fulfilling prophecy, with merchants jumping on the bandwagon by increasingly targeting Cyber Monday offers and deals. It has become one of the largest shopping days of the holiday season.

The amount of sales happening on Cyber Monday has increased every year since it was introduced.

Regardless of whether it's actually a big shopping day, how important is simply the idea of Cyber Monday -- a jumping off point for online holiday sales -- in the greater scheme of internet holiday shopping?

Grau: Cyber Monday is the earliest of the big online holiday spending days, so it does seem to mark the beginning of full-blown holiday shopping.

Shamim: The importance of Cyber Monday is that all online merchants large and small can focus on it as a kickoff to the online holiday shopping season.