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Reading: Aussies To Spend More In Q4, But Spending Will Be Conscious
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B&T > Marketing > Aussies To Spend More In Q4, But Spending Will Be Conscious
Marketing

Aussies To Spend More In Q4, But Spending Will Be Conscious

Sofia Geraghty
Published on: 6th October 2023 at 10:35 AM
Sofia Geraghty
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Despite the well-publicised economic headwinds, The Trade Desk has good news for brands and marketers: research shows nearly a third (32 per cent) of Aussies are set to spend more in the Q4 sales period.

However, while consumers are ready to spend, they will be adopting a ‘conscious consumerism’ mindset, The Trade Desk said. This means they are going to seek out the best value for money both online and in physical stores.

Half of Australians (50 per cent) say they intend to reduce spending on everyday items to purchase gifts.

James Bayes, VP ANZ at The Trade Desk explains: “Conscious consumerism is all about mindful shopping. ‘Value’ will be top of mind for holiday shoppers this season with many wanting their dollars to go further.

“We’re seeing this manifest in two main ways. The first is planning and budgeting — more than half (60 per cent) of shoppers say they start planning for holiday spending months in advance, and that they’ll be setting a budget and sticking to it. The second is sacrifice — about half (50 per cent) of Aussies say they’ll reduce or make fewer everyday items to purchase gifts.

The change in time frames means brands will have to think more carefully about their budges, Bayes said.

“As cost-conscious consumers gear up for an extended shopping season, marketers will likewise need to stretch their budgets across a longer period to maximise the impact of their investments. Brands that break free from conventional techniques and explore innovative advertising approaches have the potential to gain a substantial competitive edge”

This means that data is more important than ever.

“Retailers’ first-party data from loyalty programs, for example from Flybuys, offers marketers the ability to continually optimise their campaigns. By analysing shoppers’ reactions in real-time, brands can adapt and refine their ad campaigns, identifying the most effective ads for specific customer segments, timing, and channels.

“This data also gives brands the opportunity to combine Flybuys’s shopper data with the preferred media channels of Coles’s shoppers. Marketers can now deliver more relevant ads to these shoppers, reaching them as they are watching broadcast video-on-demand (BVOD), streaming music, or reading online news.”

“This new, data-driven approach underpinned by retailers’ first-party data enhances the entire advertising process, making it more precise, efficient and valuable.

“The significance of retailers’ first-party data is undeniable, especially when considering the limitations of walled gardens. These closed platforms often lack the transparency necessary to make quick campaign adjustments. The opacity of these platforms has been a thorn in the side of advertising for years, and this year retailers are going to feel that pain more than ever”.

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TAGGED: Marketing, the trade desk
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Sofia Geraghty
By Sofia Geraghty
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Sofia is an award-winning B2B journalist with experience in investigative journalism and TV presenting. She worked as a journalist at the UK’s leading insurance publication before moving to TV presenting within financial services. She is passionate about equality and female empowerment and was awarded an industry-wide broadcast media award (and was shortlisted for another) for her work in promoting diversity within the insurance industry.

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