Holiday Marketing, Consumer Behavior
The 2022 holiday shopping season has officially ended. And it left major information on consumer behavior in its wake.
As always, consumer shopping predictions were a large focus in 2022. Experts anticipated a decline in consumer spending, concern regarding inflation and increased online shopping. Now that the season of giving has passed, marketers and brands are able to see just how many of these predictions came true.
We’ve created a list recapping the consumer behavior patterns that prevailed during the 2022 holiday shopping season.
1. Online sales increased
Online retailers were certainly on the nice list in 2022, as reports show an increase in consumer spending on e-commerce sites. According to Mastercard SpendingPulse, online sales grew 10.6 percent compared to last year’s holiday shopping season. Over 20 percent of retail sales were attributed to e-commerce, a jump from both 2020 and 2021. This aligns with Adobe’s prediction that online sales would increase during the 2022 holiday season.
For many consumers, digitization provides space for convenience and ease during their journey. Nearly three years into the COVID-19 pandemic, and consumers have proven their appreciation for online shopping won’t be dying down anytime soon.
2. Discounted items prioritized
Inflation is having a major impact on consumer behavior, and it's affecting how and where consumers spend their money.
GlobalData reports that over half of holiday shoppers purchased discounted items during the shopping season, whereas 38.4 percent of consumers prioritized markdown in 2021. This won’t come as a surprise to most marketing experts, who noticed the downward trend in consumer optimism as prices spiked last year. McKinsey & Company described consumers as “cautiously optimistic” in their Consumer Pulse Survey on holiday shopping, noting that consumers were looking for value in products and would switch stores if they found a better price elsewhere.
For cash-strapped consumers, discounts serve as saving grace and promote feelings of appreciation for their patronage. During the holiday season, where consumers are especially focused on gift-giving and smart financial spending, discounts hold great value. And the 2022 holiday season has made this abundantly clear.
The 2022 holiday shopping season was heavily anticipated, and it didn’t disappoint. In some ways, consumers are matching up with the expectations of marketers and showing unexpected behaviors in others. Now that the holiday season is over, the next question for marketers is simple: What can the 2022 holiday season tell us about 2023?
