The tech and durable products we predict will be in high demand this peak season
While the COVID-19 pandemic has drastically evolved consumer preferences and reshaped the global retail landscape, there are myriad commerce opportunities that brands can capitalize on in the new normal.
At GfK, we predict that sales for certain TCG categories, such as IT products, will remain strong this season.
Rohrbaugh agrees with this assessment: “Much of the strength in sales we’ll see can likely be attributed to newer consumer behaviors we’ve seen over the past 1.5 years, such as the home becoming a hub of wide-ranging
activity,” she notes. “The pandemic has contributed to tech purchasing habits as more households look to connect in ways they haven’t connected before — a behavior that is likely to continue moving forward.”
In particular, there are four product areas we expect to see high demand for:
Shoppers will continue to purchase IT products to support working and learning at home, especially as flexible working is here to stay beyond the pandemic. “The COVID story will continue. Consumers still need more tablets, computers, and monitors,” says Herzog. “This is going to massively shape consumer demand during Q4 including Black Friday this year.”
While consumers focused on basic IT infrastructure like laptops and monitors during the early months of the pandemic (monitor sales were up 79% in Great Britain during Black Friday 2020 compared to 2019), they are now enhancing their work-from-home environment with more sophisticated products, like video conferencing equipment.
While IT and office products led the TCG market revival in 2020, telecom products are now bouncing back. According to GfK’s Market Intelligence, sales in this sector grew by 30% globally from January to July 2021, driven by wearables (+56%),
smartphones (+25%), and mobile headsets/headphones (+33%).
Similarly, with consumers displaying greater interest in home cooking, household appliances will continue to be in high demand. This category was a super performer in Germany specifically last year, with food
preparation products showing a 133% growth over Black Friday 2019.
Correspondingly, sales of food preparation gadgets grew by 134% during Black Friday week 2020 compared with an average week, and we expect to see similar trends this year. In particular, household appliances with increasing penetration, such as fully automatic espresso machines and food processors, look set to experience high demand this peak season.
of consumers say they cooked for fun at least weekly in 2020
Source: GfK Health, Hygiene & Wellbeing study
Over the past year, consumers have gravitated towards luxury TCG products with advanced features in a bid to upgrade their domestic environment during COVID-19 lockdowns. For instance, GfK research shows that sales of big screen TVs (+70 inch) grew by 69% from January to July 2020, while sales of regular TVs remained stagnant.
Smart home appliances are also expected to see a boost this year. “We’re seeing more households install smart home appliances, as the past year-and-a-half saw consumers investing more in their homes. We’ll no doubt see holiday deals around the smart home this season,” says Rohrbaugh.
For many consumers, Black Friday and other upcoming promotional events will be an opportunity to purchase premium products, as they will be able to save money in absolute terms. We observed this trend across Black Friday 2020 in Europe and LatAm, and also during 11/11 Singles' Day in China.
With GfK’s Seasonal Peak Monitor, you’ll know which products are popular with shoppers each week.
Use the latest data to spot opportunities.
