A recent report by ESW has revealed that global festive shopping demand in December has seen a significant decline. While Black Friday and Cyber Monday have traditionally dominated the holiday shopping season, December seems to be losing its significance for many shoppers. The report highlights that 64% of global shoppers now prefer to do their shopping in November, with Singles Day on November 11th and Black Friday on November 24th capturing the majority of consumer spend. In contrast, only 23% of shoppers intend to make purchases in December.
The Global Voices Research conducted by ESW surveyed over 18,000 consumers across 18 countries to gather these findings. The results show that shoppers in China, India, the UK, Mexico, and the US are planning to shop before Black Friday, with percentages ranging from 51% to 75%. The report also identifies the popular categories for gifting in 2023, which include apparel, fragrance and cosmetics, and toys and games. Gen Z and Millennials are expected to spend on apparel, fragrance and cosmetics, and accessories.
The figures indicating consumers’ preference to shop pre-Black Friday highlight the rising popularity and influence of Singles Day. With an extended sales period from October 31st to November 11th, Singles Day’s gross merchandise volume (GMV) reached an estimated $156.4 billion this year. This, along with Amazon Prime’s Early Access Sale in mid-October and the trend of retailers launching Black Friday deals weeks ahead of time, has accelerated the “Peak” shopping season for consumers looking for gift deals.
While Black Friday remains the most popular holiday shopping event in Brazil, South Africa, and Italy, it has lost its appeal in countries like China, India, and Argentina. In fact, only 3% of Chinese consumers, 7% of Indian consumers, and 10% of Argentinian consumers consider Black Friday as their preferred shopping day. Cyber Monday also experiences low demand globally, with only 2% of consumers seeking deals on that day. However, demand picks up again in December, with 23% of shoppers indicating their intent to make purchases during that month.
The report also reveals that 43% of respondents plan to spend the same amount for the 2023 holiday season as they did the previous year. 30% anticipate spending less, while 27% plan to spend more. When broken down by country, shoppers in India, UAE, and China are more likely to increase their spending, while France, Germany, Australia, and Canada report higher percentages of shoppers planning to spend less.
Overall, the ESW report indicates a shift in consumer behavior during the holiday shopping season. The overwhelming popularity of Singles Day and the early availability of deals have diminished the significance of December as a shopping month. Retailers and brands must adapt their strategies to capture consumer attention and spending during this evolving festive shopping season.
Useful links:
1. Singles Day 2023: What it Means for E-commerce
2. Black Friday Sales Drop as Consumers Shift to Stockpiling Goods
