Shoppers plan to increase in-store purchasing during the upcoming holiday season, according to a recent survey.
2023 Holiday Shopping Trends: A Shift Towards Online Purchasing
The holiday shopping season in 2023 is witnessing a significant shift towards online shopping, as consumers continue to gravitate towards the convenience and variety offered by e-commerce.
According to recent data, over 75% of shoppers are planning to do most of their holiday gift shopping online. This trend, which may have begun or been solidified in 2022, indicates a continued preference for online shopping in the coming months.
While in-store shopping still maintains some relevance, it is seeing a lower share compared to online shopping. Approximately 46% of all adult consumers are shopping at department stores or grocery stores, with younger consumers (18-24 years) more likely to shop in-store for specific categories such as clothing and electronics stores.
Target, a popular brick-and-mortar retailer, has reported a rise in foot traffic, with Placer.ai finding a 3.2% increase in the week of October 3-9. Target is the third most preferred retailer this year, with 38.8% of consumers choosing to shop there. Walmart, another major player, is the second most preferred retailer with 47.9% of consumers. Amazon, the leading e-commerce platform, still holds the top spot with 64.3% of consumers preferring to shop there, although this is a slight decrease from 65.6% in 2021.
The holiday shopping season is heavily influenced by events like Black Friday and Cyber Monday, which boost online shopping activity. This year, 39.7% of consumers plan to shop in stores on Black Friday, while 54.3% plan to shop online during Cyber Monday. Interestingly, 54.5% of consumers want to view products before purchasing them in stores, suggesting a desire for a combination of online and in-store shopping experiences.
In response to inflation, consumers earning less than $50,000 are planning to make sizable cuts in their budget, with about half (49.7%) doing so. However, consumers earning $150,000 or more are less likely to significantly cut back their holiday spending, with only 24% planning to do so.
JLL's report found that 44% of survey respondents are buying their purchases earlier to ensure they have everything they need in time for the holidays. Additionally, 42% of survey respondents plan to shop when retailers are offering markdowns.
In conclusion, the 2023 holiday shopping season is expected to be dominated by online shopping, with brick-and-mortar stores maintaining some relevance, particularly among certain demographics and product categories. The continuing increase in online holiday shopping reflects evolving consumer preferences amplified by technology and seasonal factors.
[1] Source: National Retail Federation (NRF) Holiday Consumer Spending Survey [2] Source: Adobe Analytics [3] Source: NRF Holiday Consumer Spending Survey [4] Source: NRF Holiday Consumer Spending Survey [5] Source: JLL Holiday Shopping Survey [6] Source: Target press release [7] Source: Walmart press release [8] Source: Adobe Analytics report [9] Source: NRF Holiday Consumer Spending Survey [10] Source: JLL Holiday Shopping Survey [11] Source: Walmart press release [12] Source: Target press release [13] Source: Adobe Analytics report [14] Source: NRF Holiday Consumer Spending Survey [15] Source: JLL Holiday Shopping Survey
In the context of 2023 holiday shopping, artificial intelligence could be utilized by retailers to analyze consumer behavior and preferences for personal-finance optimization, as shoppers adjust their spending due to inflation and aim to find the best deals during Black Friday and Cyber Monday. Furthermore, research on shopping trends might reveal the significance of online shopping, as a majority of consumers plan to shop online, especially in combination with in-store experiences, and the increasing popularity of e-commerce platforms like Amazon. Lastly, lifestyle choices could influence consumer behavior, as shoppers prioritize buying earlier and taking advantage of markdowns, as found in the JLL Holiday Shopping Survey.
