7 Key Findings: Holiday Shopping Trends 2016
Shoppers will spend more this holiday season, but how, why and where?
We’ve poured over all the latest industry reports, pulled out 7 key findings and we’re sharing our insights with you.
- Nearly Half of Shoppers Will Complete Their Shopping by Thanksgiving
- Almost half (49%) of U.S. shoppers will be all set with holiday shopping before the end of their Thanksgiving meal, according to a new Market Track survey.
- What’s more, 27% will be doing most of their holiday shopping even before November 1st—up 8% from 2015.
- For shoppers planning to wait until after the big turkey dinner, 52% will shop online on Black Friday, while 61% will wait till Cyber Monday.
- Growing Consumer Confidence Will Drive Holiday Spending Increase
- According to Deloitte, online and in-store holiday sales (November through January) will increase by 3.6-4% this holiday season.
- Digital interactions (desktop, laptop, tablets and smartphones) will influence 67%, or $661 billion of retail store sales this holiday season.
- E-commerce sales will increase 17 – 19% during the holiday season.
- Another study by PwC, found that shoppers plan to spend 10% more this holiday season; an average of $1,121 each. And, consumers with annual household incomes under $50,000 will increase their spending levels even more than consumers overall.
- Little Fish Eat Big Fish?
- This year major retail competition will not just come from the big box down the street or major e-commerce players.
- According to PwC, almost 75% of consumers plan to shop locally while 56% will seek independent retailers.
- What’s more, according to Deloitte, small and mid-sized retailers that focus on niche products and experiences, have been collectively taking share from large, traditional retailers to the tune of $200 billion in annual sales over the last five years. These retailers that compete on differentiated products and experiences should be well positioned to outperform other competitors during the holiday season.
- Mobile Isn’t Just for Research Anymore
- Across all U.S. retailers, mobile share of e-commerce transactions has increased by 17% year-over-year and now captures 52% of purchases, according to new report by Criteo. This is something retailers and brands will definitely need to pay attention to this holiday season.
- And, here’s an interesting parallel: according to another eMarketer report, time spent in apps has increased to 86% of smartphone time, with the mobile web accounting for just 14%.
- Stores Continue to Hold Importance for Shoppers
- According to a RetailMeNot study, 73% of shoppers plan to shop in brick-and-mortar stores this season and 50% stated that the deals they find will help them determine which days to shop in-store.
- 2 out of 3 shoppers say they still follow up their mobile research with an in-store visit, according to research from XAd.
- According to the same XAd research, shoppers are also using mobile to engage more within the store, and are 75% more likely to use their devices upon entering the store than they were 3 years ago.
- Shoppers Know There’s Always a Deal… Somewhere
- An Accenture survey found that 42% of shoppers rarely or never expect to pay full price for an item. And, nearly three-quarters will shop with a retailer they haven’t visited in the last year if they receive an enticing promotion.
- What’s more, last year holiday-shopping procrastinators actually accounted for 36% of total shoppers, some of whom were hoping to take advantage of last-minute deals, according to Retail Dive.
- Many retailers and brands also fueled these expectations with discounts on many hot holiday items at 40% below the Black Friday sale price toward the end of the season.
- The Race Is On for the Last Mile
- Some 60% of retailers will provide both free shipping and free returns this holiday season—a must-have for consumers, according to PwC.
- Shoppers have named free shipping as their preferred savings method, over percentage of total purchase and specific product deals, according to RetailMeNot. And, 31% of shoppers have actually cited that they are likely to spend more money with a brand or retailer who offers free shipping.
- Additionally, a growing number of retailers—Kohl’s, GameStop, Bon-Ton’s, to name a few—have also deployed a variety of online and in-store ordering and delivery (or pick-up) options in time for the holiday season.
Are there other holiday shopping trends you’re seeing this year? We’ve love to hear them!
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