“For smaller and midsize businesses, the issue is really about budget,” Woosley said. “With the money they have to devote to paid media, their best strategy is to focus on their messaging—what makes their brand special and how they stand out against the e-commerce giants."
According to the survey, the top three reasons consumers said they choose to shop with a smaller retailer are quality of the products they sell (53%), unique product offerings (48%), and the experience (46%). Calling these points out via media strategy will be key for the small to midsize retailers this holiday season.
6. The Most Popular Toys Of The Season
Kids, perhaps, are the biggest winners of all during the holidays. Those on Santa's 2019 “nice” list are especially hoping for Owleez, Blume Dolls, Candy Locks, LoL Surprise OMG Swag, Fashion Doll, and Kindi Kids, according to ADI. (Grab 'em when you see 'em because chances are they will sell out fast.)
In the gaming category, the Nintendo Switch Lite and SEGA Genesis Mini will be the must-have consoles, with games including “Pokémon Shield/Sword,” “Shenmue 3,” “Jedi Fallen Order,” “Death Stranding,” and “COD: Modern Warfare" flying off online shelves.
7. The Majority Of E-Commerce Spend Will Come From High-Income Markets
High-income markets will drive 40% more visits, relative to their population, to e-commerce websites this holiday season, ADI predicts. Online spend growth is more likely to come from these markets, as well. The reason? Online shopping is expanding among households with median household income (HHI) of $100,000, while it is contracting in markets where households have a median HHI of $33,000.
But lower-income markets still represent a big opportunity, especially during the deal-driven Cyber Week. That's when average order value for low-income markets ($163) is forecast to rise above high-income markets ($157), ADI found.
According to ADI, more than 75% of e-commerce spend during the holidays has traditionally been on personal items. In low-income markets, holiday spend shifts toward media and entertainment, while high-income markets shift spending toward discretionary items, including apparel and accessories.
“Everyone benefits from holiday weekend deals, regardless of income,” Woosley said. “Generally speaking, retailers that personalize deals and offers to consumers based on preference, demographic data such as income, and more, are the ones that stand to benefit this holiday season. There are just too many choices for consumers out there in terms of where to shop. Personalization can help you stand out.”
View the full report below, or click here to view it on SlideShare. Online spending also is being tracked in real time here.