This week we look at the disconnect between consumers and retailers and how to make the connection before the holiday season is over.
No matter how well you think you know your customers, there will always be some sort of disconnect with trends and tastes changing at a rapid pace.
With analysts expecting this holiday season to reach an all-time high with an increase between 8.5% and 10.5% compared to 2020, now is the time to understand how to meet consumers’ expectations for their holiday shopping.
THIS WEEK’S HIGHLIGHTS
- Why 2021 will have the biggest increase in holiday spending in over 20 years.
- Consumers prioritize safety over immersive shopper journeys.
- THE FAM…
FOOT TRAFFIC TRENDS
Industry insights so you can convert your foot traffic into more sales.
Holiday shopping 2021: All-time high expectations
Despite overly congested ports, retail analysts expect holiday sales in 2021 to reach an all-time high.
The National Retail Federation said it expects holiday sales during November and December to rise between 8.5% and 10.5%, for a total of between $843.4 billion and $859 billion of sales.
Holiday retail sales have increased by 4.4% on average over the past five years, with last year’s holiday sales increasing 8.2% from 2019 to $777.3 billion.
This prediction comes from the fact that a majority of consumers have found ways to comfortably navigate their shopping during the pandemic, while last year, shoppers were still wary about going out into public spaces.
1 in 6 shoppers have already started their holiday shopping, and 57% plan to spend as much or more than last year. For the shoppers who still aren’t fully comfortable going into stores, e-commerce is expected to rise between 11% and 15% with many shoppers still utilizing curbside pickup and home deliveries.
Retailer and shopper: the disconnect
Both retailers and shoppers believe they know the other and what they want, but there will always be some kind of disconnect that we cannot see until we have the uncomfortable conversation.
Scalefast and Retail Dive surveyed 203 retailers and 284 shoppers to better understand the DTC customer’s perspective and the retailer’s view of that perspective.
While retailers believe their website is superior and easier to use than their overarching brand’s website, consumers believe that brand websites provide a deeper assortment of products.
Retailers and shoppers are in sync when it comes to emerging experiences. 90% of retailers say they offer emerging experiences throughout the year, and 80% of shoppers say they make a purchase at those events, with 43% saying they make purchases at the events at least two times a year.
One of the biggest disconnects that were revealed in the survey was the fact that shoppers want a deeper assortment with brands. Retailers can capitalize on this by creating a deeper relationship with their shoppers and understanding the ever-changing consumer trends and tastes.
TO BE UPDATED
Curbside shift: Nearly 20% of consumers plan to shift holiday spending onlinewith curbside pickup.
Social sales: 4 reasons why every retailer needs to invest in a social media strategy.
Survey: Consumers prioritize safety over immersive shopper journeys.
Digital gifting: The online specialty store and digital gifting will outlast the holiday season.
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