The consumer price index in the United States rose faster than some economists expected. Consumers pay high prices for essentials such as food, energy and housing.
On August 10, 2022, the US Bureau of Labor Statistics reported that over the past 12 months – through July 2022 – the cost of living in America has increased by 8.5%.
In a recent report, Rob Garf, vice president and general manager of marketing at Salesforce, said, “Marketing is finally catching up with budgets as consumers are buy a few items from a few vendors. This is probably not a temporary concept, but a sign of a larger change in consumer behavior towards value and convenience. For marketers, it’s not about physical or digital, but finding ways for channels to work together to attract and retain consumers. »
As prices rise, some shoppers may decide to buy their Christmas gifts earlier this year when prices are still low.
Early holiday shopping may have affected Amazon’s Prime Day 2022. The company’s two-day sales brought in about $11.9 billion in sales, an increase of 8.5% from the 2021 event. Some in the retail industry believe that price-conscious shoppers have increased their gift shopping to take advantage of Amazon’s deals.
A Christmas gift carry forward may not save money, but even a simple collection can bring in sales in time.
Budget is tight
Discount prices can also cause shoppers to splurge this holiday season and spread out their purchases rather than buying everything at once.
So a shopper who usually waits until Black Friday (November 25, 2022), Cyber Monday (November 28, 2022) or even Super Saturday (December 17, 2022) to buy a gift may postpone some n ‘to make the purchase in October.
First for the Christmas shopping budget hit. Meanwhile, a Salesforce survey from last month found that about 37% of US consumers and 42% of global consumers plan to start buying gifts soon because of increase.
With tighter budgets, shoppers can turn to online shopping and retailers sooner than later this holiday season to save money on shipping and reduce environmental impact. For example, Amazon offers shoppers a slow shipping option that delivers more items in each box. The idea is that a full box with multiple items delivered on the same day has less environmental impact than deliveries on different days. Environmentally conscious, cost-conscious shoppers can buy gifts to save on shipping costs and reduce climate impact.
Savvy marketers and retailers and retail brands can anticipate drivers based on inflation. They can offer consumers access to holiday deals early or include a buy-it-now and pay-later option to reduce budget concerns.