The majority of the consumers plan to shop more in the upcoming holiday season – claims a recent study by Tinuiti.
Despite the market uncertainties and economic hardships, the vast majority of the consumers are willing to spend more on shopping. Many brands and businesses can find actionable insights about consumer behavior this holiday season – the increased time of sales and discounts, where buyers plan to shop more!
Pandemic Induced Shopping Influence
Tinuiti has published its 2020 Holiday Shopping Trends Report analyzing the triopoly of Google, Facebook, and Amazon. The study observes the consumer trends in the online shopping era brought by the pandemic – while exploring the market trends through device usage, demographics, and sub-verticals.
This is expected to prepare merchants and sellers for a full Q4 – bringing out e-commerce sales along with Cyber Week and holiday sales. Even with the widespread stillness surrounding the COVID-19, an overwhelming majority of consumers (81.3%) noted that they plan to spend the same or more on holiday gifts than 2019.
This is the maximum level of interest compared to the past three years. As mentioned by Dalton Dorné, CMO at Tinuiti, in the company blog post – “Over the last year, the increase in spending can be heavily attributed to the growth of Super Spenders or consumers with a budget of over $500 for holiday shopping.”
It essential for brands to realize 2020 will be competition for the ad space leading to Election Day. Dalton Dorné also added, “More than 30 percent of the respondents fall into this segment, which is up by 15.3 percent from 2019. With an October Prime Day also in the mix, targeting this group early and often in Q4 can be the key to unlocking growth and ending on a high note this year.”
Hence, businesses need to start prioritizing this and prepare sooner because about 38% of the buyers indicated they would begin purchasing (requirements and gifts) before Thanksgiving. Even 34.2% said they would start shopping during the Cyber Weekend – Thanksgiving through Cyber Monday.
Black Lives Matter Movement Spurred New Focus
This holiday season, nearly 21% of shoppers are willing to shop from Black-owned brands or businesses that have voiced or supported the Black Lives Matter movement. Besides, almost 40% of GenZ consumers reported that their holiday spending would be impacted – around 27.9% will buy with more or only from the Black-owned companies.
Clearly, timing and great deals are not the only aspects for marketers to focus in 2020. The holiday period has always been vital for businesses, and in 2020, it is more evident than ever. The retailers who are looking to optimize ad spend will need to navigate their peak selling season amid the fast-changing market conditions – even there is enough possibility to recoup the lost sales.