Report: Lead-up to Black Friday important for holiday shoppers
In 2018, their experts note that nearly half (40%) of the holiday spend happened in the month leading up to Black Friday, and that repeat customers are of the biggest value to brands. Repeat customers, they found, drive about 70% of holiday sales, meaning retailers should be pushing loyalty programs and getting their offers ready for club members.
Another interesting finding is that omni-channel shoppers are spending more than those who shop only online or only in-store. According to Cardlytics, omni-channel shoppers spend about 2x more than those who shop either in-store or online, but omni-channel shoppers only make up about 10% of the buying pool.
“As shopping preferences continue to change, it’s important for retailers to understand the trends,” said Cardlytics’ Chief Marketing Officer, Dani Cushion. “Marketers typically have a clear view into how their customers are shopping with them, but it’s difficult to see how they are shopping with their competitors. By analyzing actual purchase data, we give retailers a full view of holiday spend, then help them capture incremental sales and drive loyalty through our native ad platform.”
And it isn’t only merchants or brands in the US who stand to pick up revenue during the all-important Q4 shopping season. According to new data out from YouAppi, Southeast Asian consumers are increasingly hitting the internet in search of new products and gift ideas, and many of them are using their phones to surf.
According to YouAppi’s data Thailand consumers are spending about 5 hours per day on their smartphones and Indonesian consumers spend just over 4 hours on mobile devices while US and UK consumers are only spending about 2.5 hours per day on mobile devices. Worldwide, the average time spent on mobiles is just over 3 hours per day.
This means marketers, especially those in the Southeast Asian markets, need to be looking at their mobile funnel to ensure it is a seamless, simple process for consumers to go from surfing to buying – and not just for Christmas. They note that there are a number of ‘holidays’ leading up the end of the year including Single’s DayHarbolnas, as well as the traditional ‘American’ shopping days like Black Friday and Cyber Monday.
In one case, YouAppi’s full-funnel approach helped Akulaku reach a KPI of 60%.
“By focusing on actual business KPIs, targeting higher-value users based on post-install events and offering solutions like app re-engagement and retargeting, YouAppi is enabling Southeast Asian eCommerce companies like Akulaku to move towards profitability,” said Nisan Schitrit, VP Operations, APAC at YouAppi.”
As to what the 2019 holiday shopping season will look like as a whole, Adobe Analytics experts believe the season could reach an all-time high of $143 billion in spending (November through December), a 14% YoY increase. They’re also of the opinion that Cyber Monday will remain the single-biggest shopping day of the year, potentially reaching $9.4 billion in sales. Black Friday is expected to bring in about $7.5 billion, and Thanksgiving Day $4 billion.
The downside? Because there are only four weeks between Thanksgiving Day and Christmas Day, experts predict an overall ‘loss’ of about $1 billion during the 2019 shopping season.
“The compressed shopping cycle will see retailers launching offers far earlier than ever before,” said John Copeland, head of Marketing and Customer Insights at Adobe. “With fewer days to spend, Adobe Analytics predicts that BOPIS (buy online, pick up in store) will be more popular than ever before, with revenue from this delivery method doubling in the week before Christmas as shoppers rush to complete their gift lists.”