Black Friday came and went then when all the smoke cleared, brick-and-mortar retail sales fell by 6.2% versus last year based on initial data from retail analytics company ShopperTrak, which continues to fortify the position that consumers are opting for online shopping.

This falls in line with online shopping data from Adobe Analytics, saying that Black Friday sales hit $7.4 billion, which makes it the largest online Black Friday ever.

There is no longer one way to shop on Thanksgiving Day and Black Friday,” said Brian Field, senior director of global retail consulting for ShopperTrak. “Black Friday continues to remain the busiest shopping day of the year by a long shot.”

Per a CNBC report, the fall in brick and mortar shopping “mirrors a year-long share pullback in departments stores including Macy’s, Kohl’s and Foot Locker, all of which are down more than 25% this year. Meanwhile, Amazon, the dominant U.S. e-commerce retailer, has gained about 20% this year. Brick-and-mortar sales on Thanksgiving Day rose 2.3% from a year ago, resulting in a combined 3% decline for the two-day period, according to the ShopperTrak data.”

An Online Shopping ETF Option

ETF Investors looking to play the heavy online shopping numbers can look at the ProShares Online Retail ETF (NYSEArca: ONLN). ONLN seeks investment results, before fees and expenses, that track the performance of the ProShares Online Retail Index.

The index tracks retailers that principally sell online or through other non-store channels. The index uses a modified market-capitalization weighted approach, is rebalanced monthly and is reconstituted annually.

Retailers may include U.S. and non-U.S. companies. To be eligible, retailers must: be classified as an online retailer, an e-commerce retailer, or an internet or direct marketing retailer, according to standard industry classification systems; have a market capitalization of at least $500 million; have a six-month daily average value traded of at least $1 million; and meet other requirements.

Fund facts per ONLN’s fact sheet:

  • ProShares Online Retail ETF (ONLN) lets investors tap into the potential growth of online retail by pinpointing retailers that principally sell online or through other non-store channels, and then zeroing in on the companies reshaping the retail space, like Amazon and Alibaba.
  • Online retail is soaring: Online retail has fundamentally disrupted the sector, putting pressure on traditional stores and the changing retail landscape.
  • It may only be the beginning: Barely half of the world’s population is currently online. But mobile devices are proliferating, especially in developing markets, potentially creating new e-commerce consumers.
  • Not all online retailers are created equal: Iconic companies in online retail, like Amazon and Alibaba, are reshaping the retail world. ONLN’s modified market-cap weighting puts emphasis on these leaders, while also providing industry diversification.

For more market trends, visit  ETF Trends.

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