Sales generated during the holiday shopping season, November and December, can account for as much as 30% of a retailer’s annual sales. No wonder that inquiring retail brands want to know… WHEN and WHERE are Consumers shopping this holiday season? WHAT are they buying? and HOW much will they spend?
So, HERE’S THE SCOOP according to the results of a recent survey of 7,439 consumers conducted by NRF (National Retail Federation).
WHEN and WHERE WILL CONSUMERS be SHOPPING?
- 69% of American consumers, (that’s more than 164 Million) plan to shop over the Thanksgiving weekend, to include Thanksgiving Day, Black Friday, Small Business Saturday and Sunday, and Cyber Monday.
- No surprise here- Retailers can expect Black Friday to be the busiest day with 70% planning to shop in stores on this day (that’s 115 Million shoppers).
- 43% are expected to shop on Saturday (71 Million) and 48% are expected to shop on Cyber Monday (78 Million).
- Of note is that 58% of consumers say they’ll utilize retailer’s options to buy online, pickup in-store (BOPIS), an increase of 25% over 2016. Reasons for this option include “the ability to save on shipping costs (66%), to save time while in-store (53%) and getting the product when it’s convenient (39%),” according to a Kibo Commerce survey.
HOW MUCH will SHOPPERS SPEND?
- NRF expects holiday retail sales in November and December to increase as much as 4% for a total of $678 Billion to $682 Billion this year.
- American consumers are projected to spend $608 on gifts for their family, friends and coworkers, about $218 on candy, food and holiday décor and $141 on other non-gift items for themselves. All totaling $967 on average.
WHAT’S on THEIR SHOPPING LISTS?
- 61% of shoppers will be buying clothing and accessories, which is very similar to last year.
- 59% will give gift cards, a whopping 56% increase over 2016! The top 2 picks for type of Gift Cards are Restaurants at 36%, and Department Store at 33%.
- Just 41% will give toys as gifts, which is down 42% over last year. The top 2 toys on kid’s wish lists remain the same as last year: Barbie for girls and LEGOs for boys.
Of note this year is that nearly half of the younger shoppers plan to spend more. “As Gen Z and Millennials gets older, their purchasing power increases, and the rise in disposable income is sure to be seen by retailers,” NRF President and CEO Matthew Shay said. “This group of consumers has spent time carefully researching gifts for friends, family and themselves, and are ready to begin knocking out their shopping lists.”
"Consumers will benefit from competitive promotions both in stores and online lasting the course of the weekend, allowing them to find the best gifts at the lowest prices." (Matthew Shay, NRF President and CEO)
KDM P.O.P. Solutions Group is poised to help retailers and consumer brands increase sales at the point-of-purchase. We understand that accuracy and speed to market are critical to the success of your in-store marketing goals. We design, print and distribute POP marketing materials and merchandising displays for some of the nation’s top retail brands. To learn more about how KDM exclusively supports the retail vertical CONTACT US today.