RetailMeNot 2018 Holiday Insights Guide: Consumers Demand Deals and Personalization, While Retailers Foresee a Lucrative Season
- Consumers plan to spend an average of $803 during the Black Friday to Cyber Monday weekend, up from an average of $743 last year
- 87% of consumers are searching for deals when shopping for holiday gifts
- 60% of retailers feel optimistic that they will outperform their 2017 holiday season sales this year
- 72% of millennials say that it is important to them that retailers personalize the shopping experience
20 Sep, 2018, 08:03 ET
AUSTIN, Texas, Sept. 20, 2018 /PRNewswire/ -- RetailMeNot, Inc. today announced the release of its 2018 Holiday Insights Guide, featuring key trends from consumers and retailers as the holiday season approaches.
View the full Holiday Insights Guide at research.retailmenot.com/holidays2018.
On the heels of strong retail growth in the first part of 2018, retailers are poised for success this holiday season. In fact, 60% feel optimistic that they will outperform their 2017 holiday season sales this year. Simultaneously, retailers remain aware of the competitive landscape they face, with 86% feeling more pressure to compete with Amazon during the holiday season than at other times of the year.
"This holiday season, retailers will build on their back-to-school efforts to strategically leverage physical stores, and make bigger investments in both mobile and social media," said Marissa Tarleton, chief marketing officer, RetailMeNot, Inc. "Shoppers will continue to demand omnichannel experiences when making purchases, and retailers should meet them with a seamless strategy."
For the 2018 holiday season, retailers are increasing their investments in mobile (72%) and social media (69%), as well as beginning marketing efforts (74%) earlier than 2017.
CONSUMERS PLAN TO SPEND AND SAVE MORE THIS HOLIDAY SEASON
Shoppers plan to spend an average of $803 during the Black Friday to Cyber Monday weekend, up from $743 in 2017. The top reason cited (47%) for the increase in holiday spending is earning more income this year.
Consumers indicate they'll be splitting time evenly between online shopping and visiting brick-and-mortar stores. The majority (60%) plan to start shopping before Black Friday 2018, and only 27% will wait to start their holiday shopping on Black Friday or later. The top three places where consumers will be looking for gifts are department stores (67%) online-only retailers (60%) and big box stores (47%).
An overwhelming majority (87%) of consumers reported that they will be searching for deals when shopping for holiday gifts. Deals matter for retailers, too, with 95% of retailers agreeing that deals and discounts are more effective at driving purchases during the holidays than other times of the year.
Most importantly, consumers indicated that they will spend more money with a brand or retailer this holiday season if it has the lowest price on the gift (67%), provides free shipping (64%), or provides the best sale or discount throughout the season (51%). In fact, 61% say they will not complete an online purchase during the holiday season without first securing free shipping.
MILLENNIALS SET THEMSELVES APART AS SHOPPERS
This holiday season, it's the millennial generation that may receive the majority of retail marketers' attention. In fact, 57% of retailers surveyed indicated their greatest focus for holiday marketing will be on millennials, compared to a focus on Gen X (34%) or baby boomers (6%).
Retailers should take note: Millennial shoppers expect easy shopping experiences, deep discounts and instant gratification:
- 72% of millennials say that it is important to them for retailers to personalize the shopping experience to fit their needs this season;
- 89% of millennials want their gifts in hand as soon as possible;
- 36% of millennials are most likely to spend more money with a retailer known for great customer service;
- 93% of millennials are searching for deals when purchasing gifts this holiday season.
Not only do they want a fantastic in-store experience, but 65% of millennials plan to make a purchase on a mobile device, compared to Gen X (48%) and baby boomers (30%).
"While millennials showcase a higher level of comfort with mobile shopping and are more likely to demand personalized and instant experiences from retailers, all consumers this holiday season are seeking a great experience with a good deal," said Tarleton. "The retailers who succeed this year will rely on data for smart discounting strategies and smart marketing to meet consumers where they are."
Half of retailers report savings websites and apps are most effective at increasing sales revenue during the holiday season. Are you ready to deck the halls with savings? For more on what to expect this holiday season, download the full 2018 Holiday Insights Guide at www.rmn.com/holidayinsightsguide2018.
The RetailMeNot Consumer Holiday Study was a ten-minute online study conducted by Kelton Global between July 5th, 2018 and July 8th, 2018 among 1,034 nationally representative Americans ages 18 and over, using an email invitation and an online survey. Quotas are set to ensure reliable and accurate representation of the entire U.S. population ages 18 and over.
Additionally, the RetailMeNot Retailer Holiday Study was a fifteen-minute online study conducted by Kelton Global between July 5th, 2018 and July 10th, 2018 among 203 Senior Managers+ who maintain decision-making responsibilities in digital, offline, and/or mobile marketing, using an email invitation and an online survey.
Results of any sample are subject to sampling variation. The magnitude of the variation is measurable and is affected by the number of interviews and the level of the percentages expressing the results.
About RetailMeNot, Inc.
RetailMeNot, Inc. (https://www.retailmenot.com/corp/) is a leading savings destination connecting consumers with retailers, restaurants and brands, both online and in-store. The company enables consumers across the globe to find hundreds of thousands of offers to save money while they shop or dine out. RetailMeNot, Inc. estimates that $4.8 billion in retailer sales were attributable to consumer transactions from paid digital offers in its marketplace in 2017, more than $560 million of which were attributable to its in-store solution. The RetailMeNot, Inc. portfolio of websites and mobile applications includes RetailMeNot.com in the United States; RetailMeNot.ca in Canada; VoucherCodes.co.uk in the United Kingdom; ma-reduc.com and Poulpeo.com in France; and GiftCardZen.com and Deals2Buy.com in North America. As wholly owned subsidiaries of Harland Clarke Holdings, RetailMeNot and Valassis, a leader in intelligent media delivery, are partnering to connect retailers and consumers through meaningful digital, mobile and print promotions both online and in store.
SOURCE RetailMeNot, Inc.
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