The holiday season is upon us and that means so is the annual surge in online retail shopping. According to the National Retail Foundation (NRF), roughly 20 percent of all U.S. retail spending from consumers has typically always occurred between Thanksgiving and Christmas. But this holiday season will be different, with 41 percent of consumers reporting discomfort in shopping in person due to COVID-19. WBX Commerce predicts an approximate increase of 28 percent in online spending just this month, compared to December 2019.
Shoppers in every age bracket are turning to online commerce this year and repeat purchases are coming at increasingly higher volumes. But the opportunities don’t just lie in online sales this holiday season, the opportunity to reap the rewards of strategic ad spend and increase the long term value of consumers has never been greater.
WBX Commerce’s advice: Invest now for repeat purchasers in 2021
Heavy investment now will lead to an increase in repeat purchasers in the new year. Here are a few ways your brand can stand out and make the most of what we have left of 2020 and see results in 2021.
- Follow search trends to understand how and what shoppers are searching for on a daily and weekly basis. Search terms may vary from what you have traditionally optimized for as we move through the holiday season and into the new year. Continue to optimize your product listings, noting where you’re potentially missing out on sales by not indexing for relevant searches.
- Ensure you’re pacing advertising budgets in relation to stock. If you’re utilizing Seller Fulfilled Prime (SFP) and Fulfilled By Merchant (FBM) as a backup in the event Fulfilled By Amazon (FBA) goes out of stock, make sure you take that into account with your ad strategy. Check inventory, leverage tools for demand planning, and track order fulfillment alongside your online sales. Being out of stock or even low in-stock can create issues with your direct consumers and in return, lower your chances of gaining repeat purchasers on your preferred channels.
- Plan for the lull a few days before Christmas and potentially heading into the new year, depending on your category. WBX Commerce has seen trending data in early purchasing behaviors with shoppers this year. Plan to pace budgets ahead aggressively, as your customer window may be shorter in December than any other month, due to this year’s extended shipping timelines. Gone are the days of last-minute shopping!
Ecommerce has experienced tremendous growth in 2020, and as consumers hunker down at home, this holiday season presents an opportunity to gain the long term value of repeat customers by making your brand visible.
Key takeaways:
- stay up-to-date on search terms daily
- monitor stock and coincide your ad strategy
- plan for shorter shopping windows.
Today’s online customers have a wealth of options. WBX Commerce can help ensure your brand stays top of mind this holiday and beyond — starting with the right ad strategy. Contact us today to learn how we can help grow your marketplace business.
