Why Are Shoppers Drawn Towards Physical Stores for Holiday Shopping?
Consumers want to see, touch, and physically experience a product before they commit to purchase.
Digital shopping, especially that involving virtual reality, is garnering immense attention from customers across the globe. However, the festive vibe that a customer longs for during holiday shopping can be best experienced in physical stores. In fact, as per a study by EY, a physical store is still where most consumers (68%) plan to shop this festive season.
As per the study, consumers want to see, touch, and physically experience a product before they commit to purchase—and this experience is not as conveniently achievable in digital shopping.
That said, digital channels still make for a preferred choice for young shoppers, owing to the varied options of discounts and offers available across them. The search process also becomes more appealing on digital media. As per the EY survey, the top three reasons to shop online are to learn about products, get gift inspiration, and find out about sales and promotions. Platforms like TikTok, YouTube and Instagram will be significant sales channels.
The EY Parthenon study surveyed 13,000 global consumers, including 1,000 in the US, showing findings into how consumers are wise to holiday sales and tracking more lasting value.
Other key findings include
- Consumers are maximising their budgets to afford gifts this festive season
- Majority of consumers have started their festive shopping in November
- Despite making efforts to save, households with children will be the most financially stretched and plan to use credit to pay for this festive season
- Consumers will head to physical stores as they progress further along in their shopping journey
- Consumers still shop in stores, but are finding new ways to shop – shoppable social media is trending with China leading the way
- Consumers will prioritise better prices above all this festive season, even above product
- Self-gifting is more popular among younger consumers: The data shows 47% of younger consumers are particularly willing to buy extra items for themselves if that means they qualify for free shipping, compared with 35% of consumers over the age of 60.
- GenZ consumers plan to spend more on themselves and across categories this festive season
“As the range of sales channels to purchase items grows, the importance of creating seamless experiences both in store and digitally is paramount,” Isaac Krakovsky, EY Americas Consulting Retail Leader, said in a prepared statement. “Successful retailers are meeting shoppers wherever they are with convenient, personalised and accessible experiences both in store and online.”
Brands can leverage the data to meet GenZ’s expectations by offering young shoppers control over deliveries. This portion of customers values convenience next to prices, and holiday season success lies in offering them just that.
