Online Sales Shoot up on Cyber Monday- eBay Inc (NASDAQ:EBAY), Amazon.com, Inc. (NASDAQ:AMZN)

Online sales of Cyber Monday started off briskly, sending shares of e-commerce retailers higher and indicating a powerful growth from earlier in the holiday season would carry on through December.

Sales on eBay Inc (NASDAQ:EBAY)’s online marketplace were exceptionally strong and Amazon Inc maintained its rapid holiday shopping season growth, as per data provided by Cyber Monday.

eBay’s shares shot up about 5% to $51.40, which happens to be a new multi-year record, in Monday’s session. Amazon.com, Inc.(NASDAQ:AMZN) shares have increased 1% to $243.62.

Cyber Monday has been the largest online shopping day in recent times, since workers return to their offices and can use computers to place orders for holiday gifts. ComScore is expecting online sales to hit a record of about $1.5 billion by the end of the day.

Online sales figures increased 24.1% as of noon EST on Monday, as compared with the same period the previous year, as observed by International Business Machines Corp. that is responsible for tracking transaction data from 500 US retail websites. IBM said that in 2011, the early Cyber Monday year-over year development was 15%.

Strong online sales growth on Black Friday and Thanksgiving day have instigated concerns that shoppers were just purchasing earlier, intimidating revenue later in the holiday season.

The strategy director for IBM Smarter Commerce feels that extending the holiday season has indeed dueled extra online expenses rather than cannibalizing days later in the season.

ChannelAdvisor has mentioned that sales generated by third party merchants with the helps of the software and services of the company increased 57% on eBay early on Monday, as compared with the same period in the year 2011. ChannelAdvisor found that the rate of sales growth was 5x higher than during the same period the previous year.

An equity analyst at Morningstar, R J Hottovy said that the early eBay figures are incredible and that they have put together an effective marketing strategy across a number of channels this holiday season, namely online, print and television.