Five ways retailers can find recovery this Christmas
The UK may be two months out of lockdown, but the impact of the pandemic is still being felt across the retail industry. With the festive shopping season forecast to look very different compared with previous years, Facebook has shared insights on how retailers can make gains this Christmas period.
New consumer habits formed during the pandemic will shape shopping this Christmas. As planning for the golden quarter begins, retailers have the opportunity to play a unique role in helping customers and communities.
At Facebook and RWRC’s recent virtual event there were five recommended courses of action for retailers to adapt their marketing and plan for the season ahead.
1. Create a friction-free mobile experience to attract spend and reach new demographics
The pandemic has accelerated digital adoption and, in particular, encouraged older generations to embrace ecommerce.
72% of Generation X and 50% of Baby Boomers say they spent more time on mobile during Covid-19, and plan to continue doing so in the aftermath of the outbreak.
To capitalise on this shift, retailers must ensure their mobile experience is easy to navigate.
2. Leverage the new lipstick effect
Even in challenging times, consumers find ways to stay positive and reward themselves. In past recessions, affordable luxuries such as lipstick have proven popular. However, with the introduction of mandatory face coverings, lipstick is off the menu and eyes have become the new focus.
Primark, for instance, has sold almost 800,000 sets of fake lashes in the UK since reopening after lockdown. Skincare products designed to restore a natural ‘glow’ and imply good health are also proving popular, according to trend forecaster WGSN.
Retailers can leverage the self-gifting trend by helping consumers discover products they’ll love.
Use interactive content online and advertise on social media to connect with shoppers. Help consumers try before they buy by integrating augmented-reality technology in advertising.
74% of global shoppers say they research gifts for themselves during the Christmas season
3. Make the most of consumers’ new-found receptiveness
During Covid-19, consumers have become more open to trying new products and services, such as grocery delivery. In China, 84% of shoppers tried at least one service for the first time in the period from January to February.
This Christmas, consumers will be even more receptive - 64% of global Christmas shoppers say they explore new products more during the shopping season than the rest of the year.
- Help consumers identify which products meet their preferences and are most relevant by focusing your marketing on quality, utility or affordability.
- Reach new audiences by partnering with other brands on their advertising content – tapping into shoppers’ existing relationships to help them discover new products.
- Target prospective customers in other countries. When it comes to Christmas shopping, data from Facebook IQ and YouGov found that an average of 50% of consumer spend goes to products in a different country. Use worldwide or regional targeting for your ads and localise your language, currency and availability.
4. Cater to price-sensitive shoppers with mega Sales
In April 43% of global consumers said they expected Covid-19 to have a big to dramatic impact on their personal finances. Mega Sales – such as Black Friday and Cyber Monday in the West and 11/11 (Singles’ Day) in China – could be the shopping events they’re waiting for.
One in three global consumers say they’ll wait for products to be on promotion, discount or Sale before purchasing
Ahead of these mega Sales days, retailers can optimise their seasonal social media campaigns by following a liquidity programme. More on this here on page 24.
Retailers should also consider launching new services and innovations for those shoppers that don’t want to hit the high street, both to make their lives easier and to capitalise on the online shift. These solutions could include everything from grocery delivery boxes to live shopping at home.
On the day, retailers should bring Sales to life on social media using mediums such as Instagram Stories and Facebook Live. After a Live event, this content can be turned into short video ads to retarget shoppers.
5. Prioritise purpose and authenticity
Christmas shoppers may be price-sensitive, but when asked what kinds of content they want to see from businesses on Facebook platforms, they responded by saying real, authentic and informative content is as important as Sales and offers.
Brand purpose and social responsibility are even more important.
Over the Christmas period, retailers should convey their values and how they are supporting the community in their marketing messaging. Retailers should also consider incorporating charitable options and sharing support via brand partnerships such as collaborative ads.
An average 65% of global consumers state how well a brand responds to the pandemic will have a huge impact on their likelihood to buy from them in the future
All data is taken from The 2020 Facebook Christmas Marketing Guide. To download the report in full, click here.
Written by Megan Dunsby
Produced by Helen Berry and Stephen Eddie
In partnership with Facebook
Built with Shorthand