By Dr. Lance B. Eliot, Interactions
Holiday spending by consumers is expected to be pretty good, and so now the question for retailers is primarily how can they get their piece of the spending pie.
Along with the eggnog and holiday cheer, there will be some retailers that will end-up 2015 with great tidings in their stockings, while other retailers will find that they end-up with just a lump of coal.
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The differences will be found by how retailers respond to these five top trends for this holiday season:
Trend #1: Great Customer Service gives Way to Smaller Discounts and Fewer Fire Sales
Retailers that are solely aiming at heavy discounts will find that they will be eclipsed by retailers that actually have smaller discounts but that couple this strategy with heightened service. Customer experience during shopping will get the consumer to spend even when the discount is less. A lousy experience in a store, almost no matter what the discount, will have shoppers going elsewhere.
Trend #2: Not Being Overly Worried About Being Open on Thanksgiving
Retailers are finding that the strain to be open on Thanksgiving is not the best strategy. More retailers are opting to follow the example set by Costco, Nordstrom, Dillards, TJX Stores, Pier 1, Home Depot, Lowes, Staples, GameStop, all of which have said “no” to being open on Thanksgiving.
Trend #3: Trusted Reliable Brands Get the Bucks
Consumers are worried about where holiday products come from and how they were made. Brands that are trusted by shoppers will get the lion’s share of the holiday dollars.
Trend #4: Mobile Shopping Is King
Mobile shopping keeps growing and growing. This holiday season it is expected to reach new heights. Retailers looking to draw in as many customers this season should be m-commerce or e-commerce ready!
Trend #5: Post-Holiday Shopping will Ensue
December 26 has been predicted to be the second busiest shopping day of the year. Shoppers that didn’t get what they wanted will head out in droves and make that final purchase.
Overall, sales for this holiday will be a boon. The National Retail Federation (NRF) is expecting November and December sales to rise 3.7% over 2014 levels, which is significantly higher than the 2.5 percent year-over year average seen over the last decade.
Complacent retailers that think the cash register is going to ring simply because they have their doors open are blindly wishing for a good holiday season.
Smart retailers that will be getting the biggest piece of the holiday pie are those that offer high-quality merchandise, have splendid customer service, and engage shoppers in being seasonally delighted as they open their wallets during the shopping experience.
Dr. Lance B. Eliot, MBA, serves as Vice President of Information Technology at Interactions, a global leader in retail solutions and experiential marketing. Dr. Eliot has over 20 years of industry experience, especially in the retail and CPG marketplace, and has served as a Chief Information Officer (CIO), along with having founded, ran, and sold several high-tech related businesses.
