As retailers accelerate into the “golden quarter” new YouGov research finds nearly half of consumers (48%) that buy Christmas gifts say they are not influenced by Black Friday, Cyber Monday or any other last-minute deals.
Despite the squeeze on personal finances, 69% will spend the same or more than they did last year with one in five set to splurge £500 or more. The way consumers shop is also changing with 19% heading to TikTok Shop for their Christmas shopping this year.
Amongst the deal hunters, 43% of consumers are waiting for promotions before they start spending. Around two thirds (63%) are holding out for discounts of at least 20% and nearly one in ten (8%) will wait for products to hit half price before spending.
The research was commissioned by Advanced Supply Chain and sister company ReBound Returns with 2,085 UK consumers surveyed.
Ben Balfour, managing director at Advanced Supply Chain, said: “Shoppers are planning to spend this Christmas but continue to be driven by value. Consumers’ shopping habits are not as predictable as they once were because they expect year-round promotions and discounting and are buying through an increasing number of channels with each year. For retailers, this means real-time supply chain visibility and a full picture of availability of stock will be the difference between the retail winners and losers this year.”
Nearly a third of shoppers (29%) admit to returning items they’ve bought after being influenced by heavy discounts. Festive occasions drive a spike in returns, with 28% of those that admit to buying outfits for ‘one-off wears’ doing so for Christmas parties and 15% have returned their ‘Christmas Jumper Day’ jumpers.
Nearly four in ten “one-off-wear” shoppers (38%) admit to buying clothing and accessories during the festive season with the intention of returning it after they’ve worn it.
Jelle Schoenmaker at ReBound Returns, added: “Sales and social shopping both lead to impulse buys and spikes in retail returns. Consumers will prioritise brands which offer a positive, frictionless returns experience as this is a key part of their shopping experience.
“It’s also an opportunity for retailers to understand more about their customer and glean product feedback. Brands need to capture accurate returns data so they can quickly pinpoint and fix any problem areas before the peak period is over. Another data point for improvement is the state of the returned items. With consumers returning items after they have worn them, it is time for the retailers to decide whether such returns should be fully refunded. Having returns grading in place will allow brand to have the necessary data whether they will be acting on it or not.
“This year we’re expecting an even bigger spike in returns. There’s still time for retailers to improve their returns set-up. Having proper insights in place will lead to fewer returns and better performance throughout the entire peak season and into 2025.”
