As we enter the midst of fall, the holiday season is fast approaching. We’re always curious to see how consumer spending will unfold, and we find industry predictions helpful as we help our clients build strategic plans for maximizing sales during such a key timeframe. We found the Mastercard Spending Pulse™ annual holiday forecast a fascinating read. The forecast measures in-store and online retail sales across all different forms of payment, and products that U.S. retail sales are expected to increase by 7.1% year over year this holiday season.
This increase is not something many businesses were expecting given the current economic downturn. To offset this increase, consumers will seek alternative ways to save during the gift-giving season. Specifically, consumers will search for deals and pricing trade-offs to maximize their gift-giving budget.
As this holiday season is expected to be yet another increase from the 2021 holiday season, here are some key trends to keep in mind as we end this year!
- Bargain hunting
- Due to inflation, it is expected that bargain hunting will be in full swing with an increase in e-commerce browsing as consumers want to maximize their budgets by comparison shopping and leveraging promotional codes and coupons.
- Extended holiday shopping
- This holiday season will see an extension in holiday shopping with an increase on Black Friday and Christmas Eve when consumers are confident they can get better pricing due to annual promotions and last-minute pricing.
- An increase in new apparel
- As we continue to return to our pre-pandemic routines, there is an expected increase in fashion sales as consumers wish to revamp their closets and their loved ones as well!
- New in-store experiences
- With a return to holiday shopping, retailers are aiming to boost holiday spirits by driving consumers into stores to increase holiday sales - expect many activations and experiences that will entice shoppers in the store.
With these new insights and key trends in mind, your brand can utilize this information to create the perfect holiday season marketing plan! Stuck on figuring out how to execute these strategies? Don’t worry, BrandVerge can help you achieve your goals! It just takes a quick message to set up a meeting!