Big news! 2017 has seen the biggest increase in Holiday sales since 2011. This whopping 5% increase is despite the vast number of retail (brick-and-mortar) stores closing over the last year.
“Total retail sales (Brick-And Mortar and eCommerce) this holiday season added up to a record $598 billion dollars — up $33 billion from last year.” – CBS NEWS
“Shoppers are spending at a pace not seen since the Great Recession,” says Craig Johnson, president of retail consulting group Customer Growth Partners.
Shoppers seem to be in the mood as unemployment is at 17-year low and consumer sentiment has reached its highest level since 2000. – USA TODAY
Businesses who provide products and services online are the biggest winners this year.
With the economy booming quarter after quarter, the opportunity to expand your business online has never been better. Creating and implementing a great eMarketing strategy that includes advertising, publicity, reviews, uptime, security and fraud prevention is essential for Brick-and-Mortar and eCommerce success in 2018 and beyond.
“First Data, a payment technology firm, puts online sales growth at about double the level at (brick-and-mortar) stores.” – USA TODAY
Retail spending rose 6.6%, between Oct. 28 and Monday (Dec 22, 2017) compared to the same period last year, according to a new report by the credit card processing company First Data. The firm also found that retail online sales continued to outpace those at traditional stores – 11% versus 5.4%. – USA TODAY
“The results delivered a financial boost to retailers during a year in which dozens of (brick-and-mortar) companies sought bankruptcy court protection as they sought to cope with shifting consumer tastes and a continuing shift to e-commerce transactions.” – USA TODAY
“A steady decline in in-store shopping combined with the rise in online sales in the last decade has severely affected many of the nation’s largest and oldest department stores.” – NPR
Businesses who rely on brick-and-mortar retail sales are in trouble.
Fifty (brick-and-mortar) retailers have filed for bankruptcy this year, (2017) according to S&P Global Market Intelligence. Many of them very small (national) companies but some are well-known brands like Payless ShoeSource and Toys R Us. There have been nearly 7,000 announced store closures this year, according to Fung Global Retail & Technology, which exceeds the 2008 peak of 6,200. – USA TODAY
Last year (2017) was one of the worst for the retail industry, with record setting bankruptcies and store closings — 8,000 across multiple national chains. And so far, things are not looking up in 2018. – FORTUNE
Online shopping has caused a huge increase in shipping.
“FedEx, UPS, and the Postal Service have all been (at) record volumes,” says Craig Johnson, president of retail consulting group Customer Growth Partners.
“Separately, retail e-commerce giant Amazon reported record global shopping, with more than 4 million people starting Amazon Prime free trials or paid memberships in one week alone during the holiday season.” (To save on shipping) – USA TODAY
Online and Offline Stores can increase Sales with New Strategies.
“This year was a big win for retail,” Sarah Quinlan, senior vice president of market insights at Mastercard, said in a statement. “The strong US economy was a contributing factor, but we also have to recognize that retailers who tried new strategies to engage holiday shoppers were the beneficiaries of this sales increase.“
To win with Retail eCommerce or with Brick-N-Morter Retail Stores, you have to think like an eMarketing expert. That means consumer engagement through social media, reviews, target marketing and online publicity must be capitalized and leveraged.
It’s not just about the Holidays. It’s a major shift in consumer buying habits.
I hear business owners say all the time that they just like to touch and feel the products that they purchase. That’s great. But that’s you. What about everyone else? And are you sure? Do you really need to touch and feel products that fill your shopping cart once or twice a month?
Amazon reported that they have shipped over 5 BILLION products to Amazon Prime Subscribers in 2017 alone! A great deal of this is because consumer buying habits now not only include shopping from their phones and tablets but now they’re purchasing products over and over again automatically.
Supplies for the household, supplies for the office, pantry items, vitamins and more are often automatically shipped either on a monthly basis or at a push of a button. Consumers are about convenience, and once you earn their trust, and show value, everyone wins.
Entrepreneurs can harness this new consumer buying momentum by starting with a comprehensive evaluation of their existing websites, sales channels, and marketing systems.