Retailers who assume they’ll stack up a bunch of closely discounted good TVs, hoverboards and air fryers on Black Friday after which sit again and be lullabied by the sound of singing money registers could be in for a shock this yr.
Recent analysis from Accenture reveals that value will not be the one consideration on customers’ minds this season.
The agency’s annual Vacation Buying Survey, which polled greater than 1,500 shoppers, confirmed that whereas “getting an awesome deal” was the highest consideration for customers at 49 p.c, 43 p.c stated they had been looking for retailers who provide a wide range of accessible merchandise. Different concerns for the place shoppers stated they may store on Black Friday embrace ease of checkout (40 p.c), in-store and on-line presentation (20 p.c and 25 p.c, respectively) and good customer support (25 p.c).
Jill Standish, international lead for Accenture’s Retail trade group, stated the race for Black Friday success is on. “Retailers hoping to face out towards their competitors have to assume past value and promotion and maintain their eye on the ball throughout the entire procuring expertise,” she instructed WWD. “From the inventory room to the store flooring, the entire retail operation wants to point out up. Whether or not they do or not might make or break the retailer’s vacation procuring season.”
Relating to how a lot shoppers will spend this vacation, Accenture’s survey confirmed that respondents count on to dole out, on common, $613, which is a 4 p.c achieve over final yr’s $591.
“Nevertheless, there’s nonetheless a bunch of ‘deal seekers’ who love a cut price and are pushed by promotions, incentives and financial savings,” the report’s authors stated. “Nearly seven in 10 (68 p.c) shoppers rated value and worth among the many most vital elements in deciding what retailer to purchase from, and 30 p.c stated they may store as and when they’re supplied promotions or reductions.”
Accenture stated in such a aggressive run-up to Black Friday, retailers have to maintain monitor of inventories as to not disappoint customers. The report’s authors stated, “Personalised offers and promotions focusing on shoppers can encourage customers to spend with a sure retailer, however they should maintain abreast of their product vary so offers are usually not continued as soon as inventory ranges fall.”
Accenture additionally inspired retailers to, “Win day by day, not simply [on] peak gross sales and promotional days: Retailers ought to look past the stand-alone gross sales occasions similar to Black Friday and Cyber Monday and put in place a dynamic gross sales and advertising plan.” That requires scrutinizing knowledge and analytics “to fastidiously stability how and when to supply promotions and reductions, whereas preserving their revenue margins,” Accenture stated.
The report additionally instructed retailers “deck the shops” as a result of customers “wish to benefit from the bodily procuring atmosphere. Preserving shops clear and alluring is vital,” the report famous, including that the survey discovered “that nearly half of vacation customers — rising to 53 p.c of Gen X shoppers — desire to go to shops to allow them to see and assess merchandise firsthand.”
“Black Friday weekend customers could also be laser-focused on bagging a cut price, nevertheless, retailers shouldn’t overlook this ‘spend second’ as a chance to interact clients on a deeper degree,” Standish stated. “In a season that’s significantly tied to nostalgia and custom, providing customers the expertise of seeing Santa, of listening to vacation songs as they stroll the aisles, or the prospect to obtain inspiration and recommendation from a pleasant and educated retailer affiliate are simply a number of the methods to create an expertise that retains them coming again.”