The early reports indicate that shoppers are already out in full force and they're on the hunt for bargains. Take a look at the broader consumer trends and what's happening with your own business to pivot and make decisions about how to make the most of these last few weeks of the year.
Concerns about the economy are affecting consumers, but they still plan to spend for the holidays. The way they shop may be slightly different, however. And, they are definitely looking for deals. The Black Friday-Cyber Monday drew a bigger crowd than expected. From Thanksgiving Day to Cyber Monday, 196.7 million shoppers turned out, according to the National Retail Federation. For context, shoppers spent an average $325, higher than last year's average of $301
The chaos of supply chain issues and challenges with finding items during the 2021 holiday season drove many shoppers to opt for a gift. You can expect that trend to continue. According to Forbes, fewer gifts will be given in 2022, but the rise in gift cards given will be around 7 percent.
Due to the uptick in gift cards, many businesses say they plan to keep their holiday sales active through the first week of January to give customers a chance to use up their gift cards—making the holiday shopping window even longer than usual.
Holiday sales will grow 6 to 8 percent this year, even despite concerns about inflation, a potential economic recession, and lingering supply chain issues.
2021 holiday sales rose over 13 percent, so this might feel like a step back. But given the current economic climate, it’s still a healthy boost that retail and eCommerce businesses can rely on for holiday profits.
People will spend between $942 and $960 billion during the 2022 holiday season, according to a Retail Federation study. The group said after the holiday weekend that sales are on track to hit that forecast.
Generally speaking, retail and online sales see an uptick of 25 to 30 percent during the holiday season. Much of that shopping is done during the big shopping weekend, but the flurry isn't over yet.
Online holiday sales will largely be responsible for the estimated 6 to 8 percent growth in holiday sales in 2022. E-commerce could grow as much as 12 percent from 2021 when it was peaking due to COVID-conscious shoppers.
Focusing on digital sales could help your business, but remember that online sales are also the most competitive environment, so ensuring you have a seamless and secure digital payments platform set up is important.
While people want to shop online, they still want to shop in person. Retail stores are seeing a surge this holiday season as people look to get out of the house. More than 122.7 million people visited brick-and-mortar stores over the big shopping weekend. That's an increase of 17% over last year. With more people coming in, it's even more important to keep on an eye on inventory to see what's running low and what isn't selling as well. A good POS System makes it easy to track automatically.
Contact us to see how our digital payment solutions and PEAK POS can maximize your holiday outlook today.