With thousands of brick-and-mortar stores set to close this year, the holiday season is even more important to retailers. Yet a new report signals more bad news for the group and the potential demise of Black Friday. According to 97th Floor, 52 percent of consumers have decided to never do their holiday shopping in stores.
97th Floor surveyed 1,000 US shoppers to understand their hopes and fears regarding crowded malls and online shopping in the wake of COVID-19.
As expected, 68 percent of respondents said they plan to do most of their holiday shopping online due to the pandemic. What’s more, 81 percent of shoppers said that even if retailers offer great in-store experiences during the holidays, they’re still not sure they’d want to shop in person.
Despite research that suggests consumers are tightening their wallets, the report found that 73 percent of shoppers will spend either the same amount or less than they did last season.
Consumers’ fears about in-store shopping have also led to a dim holiday spirit. Just 20 percent of respondents said they’re definitely in a holiday “shopping mood.” And only 26 percent of people who have been to a midnight Black Friday doorbuster said it was worth it, an indication that the end of in-store Black Friday shopping is near.
Still, for those who do plan to shop in store, 54 percent said they want to get through their shopping lists by early November to avoid crowds.
These findings echo those of a Loqate report about consumer shipping expectations, which revealed that convenience and safety are top priorities for shoppers. As consumers plan to shop online, retailers must ensure packages arrive on time for 38 percent of shoppers are concerned they’ll arrive late and 10 percent are extremely unlikely to buy from a brand that delivered a late package.
For 59 percent of online retailers, the concern is that shipper fees may strain profitability, according to Loqate.
Retailers looking to make up for pandemic losses should also consider implementing an address verification solution as 40 percent of shoppers trust retailers who have one more than retailers without it. In addition, 22 percent of shoppers would make another purchase in the future from that retailer.