Tinuiti, the largest independent performance marketing agency across the triopoly of Google, Facebook and Amazon, released its 2020 Holiday Shopping Trends Report which examines consumer trends in an online shopping season impacted by COVID-19. Merchants and brands can find actionable insights regarding buyer behavior, timing of sales or discounts and where consumers plan to shop this holiday season.
By analyzing ecommerce trends through demographics, device usage and sub-verticals, the 2020 Holiday Shopper Study prepares businesses for a jam-packed Q4 featuring a postponed Amazon Prime Day in October along with Cyber Week and traditional holiday sales. The study shows that despite the economic hardships and uncertainties surrounding the pandemic, the overwhelming majority (81.3 percent) of consumers said that they plan to spend about the same or more on holiday gifts compared to 2019—the highest level in the past three years.
“Over the last year, the increase in spending can be heavily attributed to the growth of Super Spenders, or consumers with a budget of over $500 for holiday shopping,” said Dalton Dorné, chief marketing officer, Tinuiti. “More than 30 percent of the respondents fall into this segment which is up by 15.3 percent from 2019. With an October Prime Day also in the mix, targeting this group early and often in Q4 can be the key to unlocking growth and ending on a high note this year.”
Preparing early is crucial with nearly 38% of respondents saying they will start shopping for gifts before Thanksgiving and 34.2% claiming that they will begin purchasing during ‘Cyber Weekend’ (Thanksgiving through Cyber Monday). It is important for brands to make note that this year there will be competition for ad space leading up to Election Day.
Timing and great deals aren’t the only things to focus on in 2020—more than one in five shoppers (21%) will shop Black-owned businesses or brands that have expressed support for the Black Lives Matter movement this upcoming holiday season. Furthermore, almost 40% of Gen Z shoppers said their holiday spending would be impacted; specifically, 27.9% will shop with more or only Black-owned businesses.
In this study, Tinuiti’s research and analytics teams provide a wealth of predictive analysis to offer guidance for brands and retailers looking to optimize ad spend in this ultra-competitive Q4. The 2020 Holiday Shopping Trends Report, like the 2020 Beauty Industry Trends Report, is just one of the many digital marketing reports that Tinuiti will be releasing to help brands devise effective strategies to round out an unprecedented year.
