How to sleigh your holiday season sales

The holiday season is fast approaching. And while rising costs may not be putting you in the festive mood right now, the good news is that Afterpay’s Festive Forecast report shows shoppers in the US and ANZ are planning to spend the same, if not more, during this festive period as they did last year.¹,² The outlook isn’t quite as positive in the UK, with many shoppers making cutbacks and trade-offs as they hunt down bargains. ³

With no shortage of opportunities to make sales, here are some insights on how consumers like to shop at this time of year, and what you can do to position yourself to make the most of this busy sales period.

Five moments that matter

Festive shopping looks set to shine

Shoppers are feeling the pressure from inflation, but in the US and ANZ, most plan to spend the same or more this Christmas.

In Australia, 49% of shoppers surveyed in the Report said they’d spend the same as last year, while 25% said they’d spend more.

It’s a similar story in the US—42% of shoppers said they’d spend the same, while 36% said they plan to spend more.

It’s a different story in the UK. Two in five shoppers are planning on spending less, and almost a quarter plan are looking for cheaper alternatives. ³

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Shoppers will be seeking value, so be sure to emphasize deals. Consider buy-one-get-one-free offers or free shipping over a certain price point.

2. What’s motivating shoppers to buy?

Different generations approach gift-giving differently. Older shoppers are more likely to give presents that recipients will find useful, while younger shoppers—including Gen Z and Millennials—want to create something meaningful, maintain a relationship, be admired by others, or to put a smile on someone’s face. ¹,²,³

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Think about your target demographic and how you are communicating your products’ value to them. Are you emphasizing utility or meaning?

3. Where shoppers are getting their inspiration

When it comes to gift ideas, inspiration can come from many sources.

1. Family and friends are the top source of inspiration (ANZ 49%, US 43%, and UK 45%).¹,²,³

2. Social media is another important influence (ANZ 42%, US ~25%, and UK 17%). ¹,²,³

3. Sale items are a big prompt to purchase. In the US and UK., around 44% of consumers said noticing a product on sale is a reason to buy.²,³

4. Catalogues and gift guides provide enormous inspiration for shoppers, with around one-third of Australian shoppers using them to knock over their gift list. ¹

5. Email newsletters round out the list. They’re a great vehicle for promoting offers and engaging with your most loyal customers.

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Consumers trust recommendations from their friends and family, so consider setting up a referral or loyalty program to reward customers for sharing the love.

4. What shoppers will be gifting

The most popular gift category is vouchers or gift cards, which are especially popular among older shoppers. Clothing (very popular with Gen Z), footwear, accessories, and children’s toys are also highly rated.¹,²,³

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Start promoting your gift cards as soon as possible so shoppers know that they’re an option and can easily be purchased on your website. You should also promote gift cards through your marketing messages and on social channels.

Online shoppers are embracing BNPL

Shoppers spending more this festive season are more likely to use a BNPL platform like Afterpay or Clearpay, with many saying it’s because it’s a safe and secure way to pay and offers a fast checkout experience. ¹,²,³

When purchasing gifts this year, 19% of Aussie shoppers, 17% of US shoppers and 16% of UK shoppers plan to use BNPL online.¹,²,³

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Make sure Afterpay or Clearpay is clearly displayed on your online store, so shoppers know you offer it. Head to your region's Afterpay or Clearpay website for marketing resources to help you promote Afterpay and Clearpay online.

Sleigh your sales with Afterpay and Clearpay

Make the most of the festive season by offering Afterpay or Clearpay today. Afterpay and Clearpay can integrate seamlessly with your OpenCart website and you can be up and running in as little as a few days with no set-up fees.

1. Festive Forecast, Afterpay, 2022.

2. Festive Forecast, Square X Afterpay, 2022.

3. Festive Forecast, Clearpay, 2022