2017 Holiday Shopping Season Goes Mobile
The 2017 holiday shopping season was a major success for retail brands. According to MasterCard’s SpendingPulse report, Americans made purchases at a record pace, with sales jumping nearly five percent from last year for the period from November 1 to Christmas Eve. This is the largest increase by percentage since 2011, when the economy was starting its recovery from the recession of 2007-2009.
Online shopping played a major role in the success of the holiday shopping season for retailers, as online shopping sales increased 18.1 percent from 2016. A major driver for this growth was consumers’ increasing reliance on their mobile devices to research and purchase products.
How big was mobile shopping to the overall holiday market? A report by Adobe Analytics concluded that a projected 54 percent of all visits to shopping sites came from smartphones and tablets, making this holiday season the first time that more people have used mobile devices than computers. Smartphones alone accounted for 44.6 percent of all site visits and almost 30 percent of all revenue during the holidays – marking a record increase in revenue of 41 percent.
Mobile Visits Lead to Purchases
This year marked the first year that mobile phones accounted for more sales traffic than either tablets or computers on the now-busy Thanksgiving Day Cyber Sales period, with almost half of all online retail traffic coming from smartphones.
People are doing more than visiting online retail sites using their mobile phone – they are also making purchases. By December 2017, conversion rates for phone users had increased 12 percent over the previous year.
eCommerce marketing technology company Sidecar crunched some numbers on the holiday shopping season based on Google Shopping statistics, and their research backs up the importance of mobile shopping over the holidays:
On Thanksgiving Day 2016, revenue from online sales from computers was 10 percent higher than revenue from mobile. This changed over the past Thanksgiving, with mobile sales now five percent higher than revenue from computers. While computers still make up the majority of Black Friday and Cyber Monday revenues, the gap between it and mobile is quickly eroding.
And the strength of mobile shopping was not confined to revenue. In 2016, total mobile orders were five percent behind orders placed via computers; in 2017 there were six percent more orders from mobile devices than computers.
Retail Brands Are Investing in Mobile
The sudden increase in mobile shopping is not happening by accident. Retail brands have invested more heavily in mobile advertising than ever before. They understand the immediacy and convenience of mobile both as a device to research gifts and make purchases and are using mobile advertising as a way to spur growth.
mGage Sets New Mobile Messaging Marks Over the Holidays
In 2017, online retail sales on Thanksgiving Day rose by 18 percent over the previous year to $2.9 billion. More brands are offering their Black Friday deals a day early online, and more consumers are opting to make purchases then instead of waiting until the following day.
mGage’s messaging stats showed that brands were making Thanksgiving Day online shopping a larger part of their holiday strategy – and were using messaging to do it.
Don’t Get Left Behind
Holiday shopping is following similar trends found throughout retail – everything is shifting to a mobile economy. Companies that recognize this and adapt their strategies accordingly to use tools such as mobile messaging for engagement place themselves in the best position for success ahead of the next holiday season and throughout 2018.
Want to get ahead of the game? Contact mGage and we can discuss how you can build a mobile engagement strategy and be prepared for the 2018 holiday rush.
The information included herein is distributed for informational use only; it does not constitute legal advice and should not be taken as such. All clients are responsible for meeting legal requirements and other rules that apply to their messaging programs. Consultation with legal counsel is strongly recommended.