CHICAGO—Credit unions that aren’t top of wallet in members’ various digital apps will want to step up their marketing efforts, if a new survey of consumers’ holiday plans is any indication.
In a newly released Digital Commerce 360 and Bizrate Insights survey of 1,000 online shoppers related to the season ahead, 77% of online shoppers said they intend to purchase more than half of their holiday gifts online, and 89% of shoppers said they will buy at least 25% of their holiday gift purchases online.
Those findings are in line with Deloitte’s annual holiday projections, which show e-commerce sales will grow by 25% to 35%, year-over-year, compared to sales increasing by 14.7% in 2019.
When asked, “How will your spending for the holiday season be impacted by the election, pandemic and other news stories?” 66% of online shoppers said don’t anticipate any change in their holiday spending despite varied sentiments around current events. That includes 36% who consider themselves nervous and another 30% who suggest they are not worried, according to the Digital Commerce 360 and Bizrate Insights survey. The remaining 35% who are nervous indicate they will spend less than originally planned.
The survey further found 70% of consumers start their holiday shopping before Black Friday and 39% will have started their holiday shopping before November. Overall, 68% of shoppers will finish up holiday shopping in December.
The Effect of COVID-19
The Digital Commerce 360 and Bizrate Insights survey found almost half of shoppers will buy most of their gifts online and shop early pending expected delivery challenges. Online will be the beneficiary of a strong 2020 holiday sales gain as 26% of those surveyed expect to make limited physical store purchases.
Other findings:
- 25% indicate they will make fewer purchases due to financial circumstances.
- Along those lines, the season’s more tempered nature will likely mean fewer gifts, outfits and home decor due to limited seasonal activity, as noted by 23% of survey respondents.
- 22% of online shoppers said they will be consolidating their purchases among fewer retailers,
Amazon Dynamics
Amazon dominance in the space was obvious with 48% of shoppers polled saying they intend to make half or more of their online holiday gift purchases at Amazon, while 75% will make one-quarter of their purchases via the behemoth platform.
When participants were asked to think about their likely holiday purchasing on Amazon, the majority of online shoppers will be spending about the same on Amazon this holiday. Spending breaks out as follows:
- Same: 54%
- More: 26%
- Less: 13%
- Nothing: 7%
Separately, the survey also found 27% of shoppers will be purchasing physical gift cards, while digital cards follow close behind at 18%.