Online spending hits new highs:
U.S. consumers spent $12.4 billion on Cyber Monday, setting a record for the day. Cyber Week spending, which includes the five days from Thanksgiving through Cyber Monday, grew 7.5% over last year to $38 billion. During this first month of the holiday season, consumers have spent $109.3 billion online, up 7.3% from last year.
These results are on top of Black Friday retail sales, which saw an increase in shopper traffic to physical stores of 2-5% compared to 2022.
What they’re saying:
This week’s Consumer Pulse looks at consumers' spending plans for the remainder of the holiday season, and the results show that many consumers are still holding out for better deals. Some highlights from this week’s Consumer Pulse include:
• 71% feel prices are higher this year.
• 43% will control spending by shopping at less expensive stores.
• 41% will seek out less expensive brands.
Why it matters:
According to this week’s survey, 40% of consumers plan on spending less on holiday gifts this year compared to last year, and these consumers are more likely to switch retailers and/or brands to manage their spending. Communicating a clear value proposition – or offering added value through promotions, value packs or financing programs – will be essential to appeal to these budget-minded shoppers during the final push to the holidays.
Do you want to take the Pulse of your customers? Our Insights team will partner with you to design a study that will help you better understand your customers and their problems, and how your brand can win at retail.
To get additional insight into what this means for brands and retailers, read the entire study.
