Making the most of peak: the US perspective

Join Mumtaz Khamker (global head of strategic growth for Webgains ltd.) and Liz Curtis (co-founder of team bespoke), and gain insight into the trends for the peak shopping season in the highly influential us market from which key global shopping periods like Black Friday originated.

Highlights include: extended black friday promotions

Black Friday promotions began earlier to boost consumer spending. Fears over delivery logistics also influenced the decision to launch Black Friday campaigns earlier than usual. Retailers responded to concerns by communicating regularly through social channels, texts and mailing lists - driving brand loyalty. Elevated levels of communication is a trend that has emerged from the pandemic and one we expect to continue post-pandemic.

Conversely, many brands decided to forgo all Black Friday promotions, encouraging customers to spend time with loved ones instead, thereby continuing an increasingly popular theme of encouraging social responsibility. The decision to forgo participating in Black Friday reflects the cultural shift where customers are 'voting with their wallet' - opting for brands that align with their values. A reflection of Gen-Z's emerging market, who have been dubbed as the 'activist generation'.

Lowering prices and discounting has become commonplace within Black Friday strategies, however up and coming shoe brand, Allbirds raised product prices by $1 and donated proceeds to charity. A gutsy strategy that proved successful and a prime example of philanthropy in business.

One notable trend to transpire from the pandemic is the purchase of gift cards. Once seen as a lazy or uninspired gift is now the go-to choice due to limited stock supply and uncertain delivery logistics.

A seat at the table

Unexpectedly, the impact of Amazon appears to pose a risk to department stores and established High Street names compared to independent businesses and SMEs. Amazon serves as the retailer of choice for anxious and last-minute shoppers, with its USP of a streamlined buying process and fast delivery time.

Independent businesses have had steady growth throughout 2020. Their ability to connect with their audience and effectively communicate their values and USP means they don't need to compete with the likes of Amazon - they're in a league of their own. The increase in online spending has broadened the horizons for shoppers as they opt to support small businesses.

Consumer spending patterns were spread out over the Black Friday period due to early promotion. However, Salesforce reported a 29% rise in sales year on year, resulting in a total of $61 billion. An impressive feat in a year that caused economic uncertainty across the globe.