Special Edition: What Do 2023 Holiday Shopping Trends Mean for 2024 Retail Spending?
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MikMak's Founder & CEO, Rachel Tipograph, and Reckitt’s Director of Full-Funnel Consumer Engagement, Carolyn Nephew will discuss what the consumer spending habits of the biggest shopping week of the year mean for brands going into 2024.
“For the marketer, they really need to put themselves in a position to justify the investments back to their CFO counterpart, and so I think that's the hard thing. But from planning for the consumer, I would absolutely put uncertainty, and I would plan for it to be another year like 2023.”
— Rachel Tipograph
The retail landscape has changed. Now, deals are spread throughout the year, and inflation-conscious shoppers are saving more than they’re spending. Will brands see the boost they need this holiday spending season? Or did Black Friday and Cyber Week turn out to be more of a whisper than a bang? To find out, we sat down with Rachel Tipograph of MikMak and Carolyn Nephew of Reckitt on this special edition episode of the Speed of Culture Podcast.
Rachel Tipograph is a trailblazer in the eCommerce world. She founded MikMak, the enterprise marketing eCommerce platform that helps brands better understand consumers by connecting digital investments to online retailer insights. Forbes listed Rachel as one of its “30 under 30 Who Are Changing The World”, Marie Claire named her one of “The 50 Most Influential Women in America,” and Fast Company named her one of “The Most Creative People in Business.”
An effective and passionate leader, Carolyn Nephew has been in the advertising and marketing industry for over 20 years. She manages media, content, CRM, web, and eCommerce for Reckitt’s Health brands, while obsessively managing investments and delivering high ROIs. She constantly looks for meaningful ways to connect brands with their audiences in this ever-changing creative and media landscape.
Tune into the latest episode or read the transcript below to learn how to navigate retail businesses' marketing strategies.
Shift to Social Commerce: The shift to social commerce transformed the market. Nearly 73% of Black Friday and Cyber Monday media investments focus on social platforms, making them the "third shelf" for product discovery. Consumers rely on these spaces for recommendations, influencing purchasing decisions. This evolution also changes how brands connect with their audience, redefining consumer behavior. Tapping into social platforms is vital for brands seeking heightened visibility and increased sales in the dynamic digital market.
Adapting Marketing in a Changing Consumer Landscape: Facing competition from online giants like Amazon, major retailers leverage partnerships for swift eCommerce transformation. This shift is crucial for brands navigating challenges, staying competitive, and ensuring sustained growth in a market dominated by major players. It also allows brands to improve revenue streams and offer seamless online shopping experiences, enhancing brand resilience and relevance.
Diverse Retailer Partnerships: Strategic collaborations with retailers are crucial for brands navigating the competitive retail landscape. Leveraging retailer data for targeted advertising is pivotal for impactful product launches. Partnerships enable brands to connect with consumers across diverse touchpoints, fostering a holistic brand-consumer relationship. This collaboration is essential for brands seeking a competitive edge, and enhancing customer loyalty.
The Importance of First-Party Data: Rachel and Carolyn acknowledge the significance of first-party data. However, obtaining extensive data poses challenges. Prioritizing the growth of first-party data is crucial for brands navigating changing consumer behaviors. Pursuing alternative data acquisition strategies ensures personalized interactions and maintains consumer trust in a dynamically evolving market.
2024 Consumer Trends: Carolyn believes that consumer spending in 2024 will be marked by increased cost consciousness, influenced by factors like inflation, the end of stimulus programs, high-interest rates, and geopolitical events. As a result, brands are adapting by offering value propositions and communicating the value of their products. The uncertain economic landscape prompts marketers to build little profit and loss structures, and there's an expectation that consumer behavior will resemble that of 2023. Rachel says the concept of "commerce" is evolving beyond eCommerce, thereby requiring an omnichannel approach to cater to the needs of their consumers.
Listen to Rachel and Carolyn on the Speed of Culture podcast today and discover the consumer spending habits that will define 2024.
