With Thanksgiving landing later in the month this year, stores are bracing for how this could affect their holiday shopping profits. Although many are worried how this shorter timeframe and economic uncertainty will impact consumers, data from eMarketer shows the current spending environment is healthy and will remain so throughout the 2019 holiday season.
It is expected that U.S. retail sales will increase 3.8% from 2018 and will lead to $1.008 trillion overall spending! Ecommerce is also expected to rise 13.2%, reaching $135.35 billion in online sales. Although 2018 was supposed to be the first year of trillion-dollar sales during the holiday season, it failed to do so by $3.68 billion, leading to 2019 having the opportunity to take the title.
Additional data from RetailMeNot, showed that 68% of shoppers said this year’s shorter holiday shopping season will affect how they shop. 34% of shoppers will start deal hunting earlier than in 2018, while 28% of shoppers will start buying gifts sooner than they did last year. All of this consumer data supports the fact that even though there are factors leading shoppers to modify their behavior, it still supports the claim that this year will be a big year for retail. Rising wages, low unemployment rates, high consumer confidence, and a strong stock market are all factors leading to more active consumers and less concern over the shorter holiday shopping season.
To be successful this holiday season, brands should be aware of consumer concerns and offer benefits like fast shipping and improved “click-and-collect” options, giving consumers the opportunity to order and pick up in store on their own time. If stores increase positive user experience and add as many opportunities for shopping ease, they are sure to benefit from the larger shopper pockets this holiday season. If you want to strategize how to best solve your consumers’ concerns and understand your target demographic, The PM Group can help. With decades of retail and B2C experience, we can turn your marketing dollars into the ROI you are reaching for during the holiday season and beyond.
About The PM Group: The PM Group was founded in 1988. For over 30 years, the agency has continued to grow and is San Antonio’s largest advertising agency. The PM Group’s client roster spans numerous industries including automotive, CPG, entertainment and sports marketing, legal, business services, non-profit, real estate and fitness. In addition, the agency hosts an annual Charity Gala that to date has raised millions of dollars for local San Antonio area non-profit organizations in the last 15 years! In the past 5 years, The PM Group has raised both directly and indirectly over $3.5 million for these charities. It is our way of giving back to the community that we so humbly serve.