Adobe (ADBE) projects Cyber Monday online spending to top $12 billion, making it the biggest US e-commerce shopping day ever. Shoppers have already dropped $10.3 billion on Cyber Weekend sales, up nearly 8% year-over-year.

With widespread discounts and buy now, pay later flexibility, Adobe VP of Growth & Insights Patrick Brown, expects huge demand for electronics and toys as shoppers take advantage of promotions. Brown expects discounting to reach 30% off.

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Video Transcript

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SEANA SMITH: Cyber Monday is set to break records. Adobe expecting folks to spend upwards of $12 billion today. That's higher than initial projections. And it would also make this year's Cyber Monday the biggest online shopping day of all time. Now shoppers have already spent a whopping $10.3 billion over Saturday and Sunday. And surpassing the e-commerce spend on Black Friday.

Now sales across the three days were up almost 8%. Though people are shopping more, many though, are turning to buy now, pay later to stretch their budgets. Adobe predicting that the BNPL usage will hit a record high today.

With us now for more, we want to bring in Patrick Brown. He's Adobe's Vice President of Growth Insights. Patrick, it's great to have you here. So breaking down some of the spending that you're anticipating to see today and really what we've already seen play out over the last several days is that because we're seeing an increase in demand or is it simply because higher prices are driving these year over year jumps?

PATRICK BROWN: Yeah, it's a great question. And so what we're looking at just a quick touch on the actual data is we're looking at through Adobe Analytics, actual online transactions. And we break those into about 18 different products SKUs because it's like 100 million product SKUs that we're looking at. And 18 different categories like electronics and toys. And we trend that over time.

And so what we're seeing when we turn that in our data is strong growth like you called out, which was about a 5% increase on Thanksgiving, acceleration of about 8% through Black Friday. And then even another 8% over the weekend. So really strong growth. The biggest driver for that we see is the discounting. And so we see discounts of around 20%, 25% on products like electronics and toys through the weekend. And we expect that to peak with discounts around 30% today on Cyber Monday.

One of the big drivers, like you did call out, is an increase in buy now, pay later. And so people are seeing bigger discounts. They're leveraging credit and different ways to defer payments to be able to take advantage of some of those good deals that they are seeing. And we're expecting that to peak today.