2016 Holiday Season Spending Trends And Predictions and tips to make the most of this productive season
Holiday season has already rolled in and it will make a perfect time to take a look at some of the holiday season shopping trends and predictions for 2016. PwC’s 2016 Holiday Outlook reports say that for the first time after the great recession, the holiday season spending is expected to Increase by 10% during 2016 season. Here are some of the other holiday shopping trends that emerged after the survey conducted by PwC, which polled 2,100-plus consumers and 200 retailers.
Holiday season predictions to watch out for
- Consumer spending is likely to reach the highest since great recession
- A significant rise predicted in online and mobile shopping
- The Largest U.S. Demographics of the youth may prefer tangible gifts over experiences
The holiday season spending is expected to increase by 10% over the 2015 sales figures to make it hit the highest level since the great recession. The digital sales and mobile shopping may go up by a staggering 25%. Most customers plan to shop at their pace online rather than at the physical stores. Another interesting trend will be that shoppers are more likely to concentrate on just a few web sites including select stores and leading brands during online shopping.
Customers including employers and businesses are in an upbeat holiday mood and will spend 10 percent more on holiday season gifts, travel and entertainment. Small, independent retailers and local stores may come up with personal services and unique hand-made gifts to attract the shoppers. The retailers are also expected to ensure a pleasant shopping experience by providing knowledgeable store associates, great prices, promotional gifts, quick check-out options and well stocked stores.
It will be interesting to see what the 2016 holiday season predictions are
Bigger holiday budgets: Shoppers are likely to spend 10% more this holiday season, which on an average is $1,121 each. Shoppers with less than $50,000 annual household incomes may increase their percentage spending levels the most among consumers.
Celebrating the holidays: The upwardly mobile, college-educated millennials, are expected to shell out $500 more this season than other groups of consumers. Interestingly, they are likely to spend a substantial part of their budget on themselves.
Shopping is a social activity for the youth: At 86 million strong, the American youth makes a substantial part of consumers. Their shopping habits are likely to be influenced by the interactive digital content including videos and social media reviews. While millennials prefer experiences and ads, youth are likely to make their shopping preferences based on their social media interactions.
Millennial parents shop first: With full time jobs, kids to care for and house hold tasks to juggle with, 75% of millennial parents are likely to shop early against 61% of other consumers. They are almost twice as likely to use a mobile device to pay for purchases as other shoppers.
Hassle free and quick shopping: Customers are likely to look for a fast and easy shopping experience in-store and knowledgeable sales associates for assistance.
Mobile friendly shopping: Anticipating a whopping 25% increase in annual digital sales, retailers are making their sites mobile friendly and investing more in optimizing their digital channels. Shoppers are going mobile to not just compare deals or search products but also to track packages, check alerts and more.
Free shipping: Free shipping is likely to be a major factor for shoppers in choosing retailers this season too. Around 60% of retailers indicated that they will provide both free shipping and free returns this holiday season to attract maximum consumers and to ensure a pleasant holiday shopping experience.
Now that the retailers have the hottest trends of holiday season shopping in hand, here are a few tips that will help them to make the most of the lucrative shopping season ahead.
Deals.. deals! Shoppers check out for the most attractive deals well in advance. So, make sure to make a buzz by sending logo imprinted holiday gifts to announce the deals and to tempt them to be at your shop. It is interesting to note that 64% of consumers begin holiday shopping before the start of Black Friday week and 29 percent might have completed most of their shopping by then. So, make sure to stock up the best holiday shopping items and bring out a holiday themed makeover for your stores.
Awareness events are popular: Holiday season also doubles up as that time of the year when a lot of awareness events take place. Marketers can highlight their social commitment by sponsoring events, hosting fund raisers and more to get actively involved in awareness events. The reports suggest that during this season, consumers are more likely to prefer brands that socially responsible. Another interesting holiday season shopping trend in 2016 is that shoppers are expected to donate an average of $244 for their favorite causes.
Gifts for Pets: Half of all households nationwide have pets and quite naturally gifts for pets will be in demand this holiday season. Pet owners are expected to buy gifts for their pets and may spend an average of $62 for their pets. Marketers who wish to tug the hearts of their pet loving audience should make sure that they include gifts for pets in their marketing mix!
75 percent of consumers are planning to shop locally. So for marketers it makes a golden opportunity to get their acts together in making the best impression in the minds of their customers by way of attractive deals, freebies and more! Happy selling!
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