Australians are set to increase their spending, start shopping earlier and combine online product research with bricks-and-mortar purchases this festive season, requiring marketers to adjust their campaign strategies accordingly, new research from MiQ Australia has found.
More than a third of Australians (34 per cent) are expecting to spend more this holiday season, compared to 2021, despite rising inflation, interest rates and cost-of-living expenses. Although people are spending more money, they are buying fewer products, being more selective and doing their homework, with seven in 10 people conducting product research, such as reading reviews and comparing goods, before making a purchase.
The trends are part of a new report, How to Light up your Holiday Shopping Marketing Strategy, released by the leading programmatic media partner for agencies and brands, that looks at predicted global spending habits for the upcoming festive season and how marketers can tap into the data.
The report predicts a bumper holiday shopping season worldwide, with nearly half the population (46 per cent) looking to increase their spending. While essential items remain top-of-mind with most 2022 customers (74 per cent globally), they are also set to spend big on fashion, beauty, health and fitness, and electronics.
Online shopping events such as Black Friday and Cyber Monday in November will see online shopping surge in the lead up to Christmas.
For brands looking to increase their ROI and engage new audiences this holiday season, omnichannel shopping options remain critical. Four in 10 customers are continuing to toggle between online and offline shopping platforms, with trends like “click and collect” and “research online, buy in-store” driving hybrid shopping behaviours and a predicted surge in physical shopping closer to Christmas.
MiQ APAC CEO, Jason Scott said meeting customers in the moment would be critical to a successful holiday shopping campaign, along with implementing solid frameworks for measuring success.
“Brands need to understand that this year, their shoppers have different budgets, priorities and shopping plans, so they need to adjust their campaigns accordingly,” he said.
“Timelines are changing too – people are shopping earlier to try and overcome supply chain issues and cost-of-living pressures, and they’re doing more research, so campaigns need to start earlier and tap into that user demand for information.”
Marketers should look at a measurement framework that connects campaign KPIs with actual business impact, the report says, investing in future-proof measurement plans now for long-term success.
Scott said the holiday season was also set to have a significant effect on programmatic inventory, driving a 12 per cnet to 18% uptick in average CPM levels, compared to the rest of the year.
“CPMs are high, especially during the last two weeks of November, as businesses undertake last-minute bids to engage online shopping audiences. Emerging channels such as CTV and DOOH are likely to have less competition compared to traditional digital inventory. We’re also expecting a big jump in CPM levels on mobiles, especially on in-app programs, this holiday period,” he said.
