This peak season shoppers will seek to save as they spend
Perfecting your pricing and promotions this peak season will be crucial to your annual sales results. There’s no question that the pandemic has disrupted market and consumer behavior and both need to be considered when taking pricing and discounting decisions this year.
In global technical consumer goods (TCG) markets we’ve reported on a sales surge since the start of the pandemic, and this demand shows no signs of abating.
However, in the current environment of rising prices and economic uncertainty, many consumers in all markets will be thinking about cost and value as we approach this year’s peak weeks.
Of course, it’s not news that shoppers love a bargain. Our FutureBuy research shows that saving money through the best prices or deals is top of mind for four in 10 (42%) online shoppers and two in 10 (24%) in-store shoppers. But add to the mix supply shortages and pressure on prices, job losses and anticipated increasing inflation, and the need for some shoppers to save as they spend is understandable.
Of course, not all consumers are in the same situation – many have saved money during the lockdowns.
It’s important to look at different shopper segments when planning your pricing strategy.
Whether it’s during Singles’ Day, Black Friday, Cyber Monday, Christmas or the post-holiday sales, the last months of the year and the start of Q1 is the most important sales period for the technology and durables markets.
Many consumers will be ready to grab a deal in Q4. Make sure you follow our six steps to success this peak season to have the maximum chance of being their brand, product, or retailer of choice.
