While the holidays are typically the most wonderful (and busiest) time of the year, this season raises many questions for retailers and brands. Will consumers return to in-store shopping for all of their gifting needs, or will ecommerce demands skyrocket? Most importantly, how can brands best engage with customers to stand out against the competition? Check out our key takeaways on the latest holiday season market trends below!
Planning for a Successful Holiday Shopping Season
In order for brands to have a prosperous outcome with sales, there are many factors to consider this holiday season. Having insight on consumer behavior, especially in your brand’s target market is crucial. Aside from COVID-19 shifting consumer shopping patterns, holiday retail sales are expected to grow and succeed last year’s total.
Source: National Retail Federation, CBRE Research
As more people have transitioned from offline shopping to online, analysts project that holiday ecommerce sales will surge by 25% to 35%. With more holiday shoppers opting to purchase online, due to COVID-19 and overall convenience, brands need to prioritize their ecommerce presence. Shoppers value speed and efficiency, and to remain competitive, brands must ensure they are offering the best shopping experience on their website. Reinforcing holiday content and engaging with consumers through lifestyle campaigns such as ecommerce email marketing, can aid in converting customers and increasing cart abandonment thresholds.
Preparing for Earlier Shopping in Q4
In previous years, holiday shopping typically began with Black Friday deals, however consumers are proving that they are preparing and purchasing gifts earlier this year. Instead of waiting for Thanksgiving to mark the start of holiday shopping, surveys have found that 3 in 10 shoppers plan on starting their shopping earlier than usual this season. Understanding this change in behavior, brands should strategize earlier and create several waves of campaigns to cater to consumer needs.
Source: Coresight Research
Providing Products Most Prominent to Consumers
With essential items such as toilet paper and hand sanitizer being in high demand earlier this year, the shortage of products forced consumers to purchase from brands they never had before. This has influenced consumers to have a renewed appetite for discovering and supporting new brands. With people looking for more “value for price” products, analysts expect consumers to purchase non-traditional gifts with a focus on at-home use, such as fitness equipment, service subscriptions, and products for both personal and home care.
This year has thrown both consumers and brands countless curveballs, but there is a valuable window of time for your brand to maximize ecommerce business and meet annual sales goals this holiday season. All in all, being adaptable will ensure your business’ success Q4 and beyond. Looking for a partner to deliver an effective marketing strategy to drive sales during this holiday season? Contact us today!