This holiday season is set to be unlike any other in the past. Everyone eagerly awaits the holiday season in the hope that it will increase sales and at least partially mitigate the effects of the Covid-19 crisis.
That is precisely why eCommerce waters have been turbulent more than usual during this time of the year. Due to the crisis, certain issues are bothering eCommerce professionals more than before.
Let’s clear things out a bit!
There’s no point in evading the elephant in the room – the holiday season will for sure be affected by the Coronavirus impact. The only question is to what extent? And, of course, what brands and retailers should do?
Many research has been conducted on this topic, but we will present just a few:
The changes in consumers’ behavior made it significantly more difficult to answer this question. One thing is sure – people won’t be traveling during the holiday season as they used to. Therefore, those savings will go to something else.
Based on the consumer behavior we have witnessed during this period, it’s safe to say that most of the money will go to the home entertainment category.
Research shows that the fast-moving consumer goods (FMCG) industry has changed to the extent of creating a development of a “homebody economy”. Homebody economy is a term that was first used to describe the change in consumption habits in China, then spread to other markets as well. Even as the restrictions ease, consumers tend to eat and entertain themselves at home. That’s why the entertainment industry should most benefit from the holiday season.
Since most countries are facing another Covid-19 spike it’s expected that eCommerce scores good numbers during the holiday season as well. 88% of shoppers tend to continue with online shopping instead of going to stores during the holiday season. That is certainly good news for eCommerce sites that gained new visitors during the pandemic. It’s very likely that customers will visit them again and make holiday purchases.
So, what actions should you take as Black Friday (and the holiday season in general) is approaching?
Unfortunately, unemployment levels all over the world have skyrocketed during the pandemic. Therefore, it’s expected that the customers’ views on shopping have changed. Buying luxury gifts might note so popular (or possible for most people) this year. But, besides the wallet adjustments based on economic circumstances, other factors will become more prominent as well.
For example, research from Neilsen has found that shoppers now have a different sentiment regarding homecare and cosmetic products. They became more focused on aspects such as naturalness, sustainability, providing immunity, and general health.
Understanding what values the customers are searching for in a product will set you apart from your competition. Providing these values to the customer will not only bring you their loyalty but as well the possibility to charge a premium price. During these unforeseeable times, brands will need to truly differentiate themselves. There is no other way of doing it besides focusing on the new priorities that customers look for in a product.
What all of this mean for your sales?
Well, buyers always love discounts and promotions, especially when they have a tight budget. Since that is the case, you need to find ways to make shopping more appealing.
Holiday season sales, like everything else, will be affected by the pandemic outbreak. Yet, it seems that both retailers and shoppers will need to invest more time and effort to get the wanted results.
Having in mind the situation, retailers should think of starting the sales earlier and more prepared than ever. That means following up with your competitors’ actions as well, and who’s better to help you with that than Price2Spy?
If you’re still not familiar with all the features that Price2Spy has to offer, we invite you to start your 30-days free trial. There’s no better time for you to try it than now!
What are your expectations for this holiday season? Share them with us in the comments.