Buy-now-pay-later deals helped US retailers increase spending to $12.4 billion on Cyber Monday.
High interest rates that are squeezing household budget failed to dampen retails sales, which rose by almost 10% year-on-year, according to data from Adobe Inc.
Although the majority of sales were completed without credit facilities, buy-now-pay-later deals generated almost $1 billion in online spending, up 42.5% over 2022.
Data also showed consumers using credit facilities for increasingly large purchases.
“The 2023 holiday shopping season began with a lot of uncertainty, as consumers shifted their spending to services, while dealing with rising costs across different facets of their lives,” Vivek Pandya, a lead analyst at Adobe Digital Insights, told Bloomberg.
“The record online spending across Cyber Week however, shows the impact that discounts can have on consumer demand.”
For the five shopping days following Thanksgiving sales rose by 7.8% to $38 billion.