Deloitte 2013 Holiday Survey

  • 519 views
Uploaded on

"Naughty or Nice: How will retail sales fare this season?" …

"Naughty or Nice: How will retail sales fare this season?"
More than just a palm reading, Deloitte's annual holiday survey is grounded in nearly three decades of research. Polling more than 5,000 consumers on their spending habits, the survey gauges shoppers' expectations and intentions for the year-end holiday season. With a broad range of data, it offers key findings for regional and national retailers, industry executives, and media.

For more information, visit http://www.deloitte.com/us/2013HolidaySurvey

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Be the first to comment
No Downloads

Views

Total Views
519
On Slideshare
0
From Embeds
0
Number of Embeds
2

Actions

Shares
Downloads
4
Comments
0
Likes
1

Embeds 0

No embeds

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
    No notes for slide

Transcript

  • 1. Deloitte’s 2013 Annual Holiday Survey Naughty or nice? How will retail sales fare this holiday season? October 2013
  • 2. 2013 holiday survey themes Economic outlook and spending Holiday shopping: what, when, where, how Technology and social media influence • There is a rise in confidence in 2013 versus 2012 — on the economy, household finances and job security. • This more positive outlook is leading to higher expected gift buying and holiday spending in general. Total holiday spending is expected to increase 12% over 2012. • Additionally, the expected number of gifts has leveled off after years of decline. • Gift cards/certificates and clothing remain the top gift ideas, yet both categories are dropping in popularity. • Respondents are most likely to want to receive cash this holiday season. • Top locations shopped are Internet (No. 1 for first time in survey’s history) and discount/value dept. stores. • Nearly four in 10 will do the majority of their holiday shopping in December or later • Smartphone ownership has grown nearly 20% since 2011. • 68% of smartphone owners and 63% of tablet owners will use their devices to help them shop this holiday season. • Smartphones will be used more for finding store locations and tablets more to shop/browse. • Almost half (45%) will use social media to assist in shopping (no change from 2012). Online vs. in-store/ shopping locally • Nearly six in 10 expect to use self-help technologies in-store when holiday shopping — price checkers and self-checkout most commonly used. • Consumers show more willingness to stay with the same retailer if a product is out-of-stock in-store, whereas they are less loyal if the product is unavailable at the store’s website. • Shopping “local” will be done by 66% of respondents, mostly to support the local economy or to find unique gifts. Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 3. Economic outlook and spending
  • 4. Consumers’ intentions to spend “less” are at the lowest levels in seven years Consumers’ expected holiday spending change from prior year Spend more 8% 90% 80% 66% 70% 64% 67% 71% 68% 10% 13% 13% 2009 Recession 82% 11% 2010 2011 2012 2013 71% 71% 59% 60% 62% 59% 59% 63% 51% 50% 49% 40% 30% 34% 36% 41% 33% 20% 10% 29% 32% 29% 41% 38% 42% 37% 29% Recession 18% 0% 2000 2001 2002 2003 2004 2005 2006 Spend more/same 3 2007 2008 2009 2010 2011 2012 2013 Spend less Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 5. Optimism is rising, as fewer respondents feel we are “still in a recession” Opinion of current economy 54% 50% 49% 37% 32% 32% 16% 11% 10% 2% 3% Healthy 4% Weak/slowly recovering from a recession 2011 4 Weak, and heading Still in a recession; back into recession there’s been no recovery 2012 2013 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 6. Increased confidence is resulting in higher expected holiday spending; predicted gift spending alone is +9% Consumers’ expectations for holiday spending on: 2012 2013 % change Gifts $386 $421 9% Socializing away from home $242 $270 12% Entertaining at home $149 $159 7% Non-gift clothing for family or yourself $119 $136 14% Home/holiday furnishings $65 $81 25% Any other holiday-related spending not listed above $74 $87 18% $1,035 $1,154 12% Total 5 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 7. Both wealthy and non-wealthy households are predicting higher spending amounts versus last year Consumers’ expectations for holiday spending: 2013 household income: 2012 household income: <$100K Difference <$100K $100K+ Difference Gifts $319 $771 +$452 $298 $741 +$443 Socializing away from home $170 $612 +442 $168 $538 +$370 Entertaining at home $128 $264 +$136 $118 $274 +$156 Non-gift clothing for family $109 $228 +$119 $98 $202 +$104 Home/holiday furnishings $59 $157 +$98 $51 $119 +$68 Any other $69 $151 +$82 $57 $145 +$88 Total 6 $100K+ $854 $2,183 +$1,329 $790 $2,019 +$1,229 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 8. Smartphone users and omni-channel shoppers (mobile, store, Internet) have even higher spending expectations Consumers’ expectations for holiday spending on: Respondents that own and will use smartphones to assist in holiday shopping Will not use smartphone to assist in holiday shopping and all non-smartphone owners Gifts $480 $378 Total* $1,494 $910 Shop mobile, store, Internet combined Shop stores only Gifts $558 $356 Total* $1,643 $934 Total includes the following categories: “gifts,” “socializing away from home,” “entertaining at home,” “non-gift clothing for family or yourself,” “home/holiday furnishings,” and “any other holiday-related spending not listed.” 7 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 9. The decrease in expected number of gifts given has leveled off Average number of gifts, including gift cards, expected to be purchased 25 22.0 23.1 21.5 20 18.2 16.8 14.7 15 12.8 12.9 2012 2013 10 5 0 2006 2007 2008 2009 2010 2011 • 43% will purchase gift cards • 34% who plan to buy gift cards/certificates plan to buy digital gift cards 8 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 10. Holiday shopping: what, when, where and how
  • 11. Gift cards and clothing are the top gifts consumers expect to purchase, however both have seen a drop Percentage of consumers surveyed who expect to purchase each item this holiday season Top 10 gifts consumers plan on buying 43% -4 vs. 2012 Gift cards or gift certificates Electronics (NET)* 34% 42% -9 vs. 2012 Clothing 30% Books 27% +4 vs. 2012 Money (Cash or check) 27% Games, Toys, Dolls, etc. 26% Food/Liquor CDs or DVDs or Blu Rays for movies or music Cosmetics/fragrances/health & beauty aids Jewelry Games - Computer/video only 24% 19% 18% • Gift cards still at the top, but down to 43% from a high of 69% in 2007 • Cash ranks No. 1 as the gift respondents would like to receive at 37% 16% *Electronics category is comprised of home/personal/car electronics, computers and tablets, game consoles and video games 10 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 12. Coupons/promotions will play an important role in influencing holiday spending, more so among higher income households What percentage of your total holiday spending will be influenced by any coupons and promotional offers? Over 75% 73% will be influenced by coupons/promotional offers 51-75% 26-50% 11% 6% 21% 1-25% 35% Income <$100K 71% 11 $100K+ None 27% 79% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 13. 57% expect to change how they shop to save money (vs. 63% in 2012); the top strategy of buying on sale will be less frequent How will these respondents change to save money? -9 vs. 2012 66% 57% Buy more items "on sale" -2 vs. 2012 49% 47% -7 vs. 2012 51% 44% Go online more - to find better Buy more lower-priced items prices, coupons, deals, etc. 2012 -8 vs. 2012 49% 41% Use more store coupons 2013 Responses under 41% not shown 12 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 14. Consumers are looking for convenience this year — which might mean free shipping, free returns, price matching and extended store hours Retail offerings that respondents will take advantage of this holiday season Free shipping 71% Free returns 47% Price matching 44% Extended holiday hours (open early/close late) 36% Order online/pick up in-store Free layaway 13 35% 13% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 15. For the first time, “Internet” ranks No. 1 on the list of venues respondents expect to shop; “discount/value department stores” show the biggest drop among venues Percentage of respondents who expect to shop at each venue this holiday season 47% Internet (including auction sites) 44% -7 vs. 2012 Discount/Value department stores 28% Traditional department stores 21% Electronics/Office supply/Computer stores 21% Off-price stores Warehouse membership clubs 20% Toy stores 20% Outlet stores/centers 20% 17% Restaurants/fast food establishments Home improvement stores 15% Sporting goods stores 14% Low-price dollar stores 14% Specialty clothing stores 13% Drug stores 13% Supermarkets 13% Responses under 13% not shown 14 4.5 — average number of venues consumers expect to shop this year (similar to 2012)* * Among those who expect to shop at venues Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 16. In 2013, “Internet” surpasses “discount/value department stores” on the list of venues respondents expect to shop Percentage of respondents who expect to shop at each venue this holiday season 70% 60% 59% 58% 48% 50% 40% 51% 47% 44% 45% 44% -7 vs. 2012 2011 2012 2013 42% 35% 30% 20% 10% 0% 2009 2010 Discount/Value department stores 15 Internet (including auction sites) Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 17. Among those shopping online, 38% say they will spend the majority online Among the 47% shopping on the Internet — What percentage of your total holiday budget do you expect to spend online? 38% will spend majority online 34% 24% 20% 18% 4% None 1-25% 26-50% 51-75% Over 75% Among those who expect to spend online 16 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 18. Nearly four in 10 will do the majority of their holiday shopping in December or later, but three in 10 will do it before Thanksgiving Which one of these days or months do you expect to do the majority 32% of your holiday shopping this year? 17% 15% 6% Have already started 11% 8% October 6% Early November Black Friday Cyber Monday 30% 33% 5% Late November December January 37% 45% don't rely on shopping on Black Friday or Cyber Monday as much as they used to for holiday shopping Early +5 vs. 2012 17 Late November December or Later Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 19. Technology and social media influence
  • 20. Smartphone ownership rises, driven now largely by females, younger and less affluent consumers + 19 vs. 2011 + 11 vs. 2012 61% 50% 42% Own smartphone 2011 2012 Gender 2013 Age Income Male Female 18–24 25–34 35–44 45–54 55+ <$100K $100K+ 2012 55% 46% 61% 63% 65% 49% 28% 44% 74% 2013 63% 59% 79% 74% 58% 39% 18% 56% 77% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 21. Among smartphone owners, nearly seven in 10 (68%) will use their device for holiday shopping — and for many uses Among those who will use a smartphone for holiday shopping — In which of the following ways will you use it? 56% Get store locations 54% Check/compare prices 47% Get product information 45% Shop/browse online 44% Read reviews Check product availability in a store or website Get/use discounts, coupons, sales information Scan product barcodes to find more product information 40% 36% 32% 31% Make a purchase online Access social networks Get text messages or exclusive deals from retailers 29% 24% Responses under 24% not shown 20 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 22. Almost two-thirds (63%) of tablet owners plan to use it for holiday shopping Total own a tablet: 38% Among those who will use a tablet for holiday shopping — In which of the following ways will you use it? 69% Shop/browse online Check/compare prices 58% Get product information 58% 57% Read reviews 52% Make a purchase online Check product availability in a store or website 47% 44% Get store locations Access social networks 30% Get/use discounts, coupons, sales information 30% Responses under 30% not shown 21 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 23. Nearly half of all respondents will use social media to assist with their holiday shopping Will social media be part of your holiday shopping process? YES = 45% No change vs. 2012 Of those planning to use social media for holiday shopping: Why? Research gift ideas 48% To find discounts 44% Read reviews, “likes”, or recommendations 40% Browse products 37% Check what gifts family/friends want 35% Post comments/share links 25% Go to retailer’s fan page 21% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 24. Online vs. in-store/ shopping locally
  • 25. “Free shipping” more likely to lead respondents to online shopping, whereas “ease of returns” more likely to lead to in-store shopping Which aspects lead you to… More Likely to Lead to Online Shopping No Difference More Likely to Lead to In-Store Shopping 17% 26% 57% Ease of shopping 13% 21% 66% Free shipping 17% Wide merchandise selection 52% 30% Speed of shopping or checkout 51% 33% 16% Low prices 51% 32% 18% Ease of returns 21% Loyalty programs 20% Assistance (either online or in-store) 24 15% 41% 38% 60% 56% 20% 29% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 26. Sales associates should be knowledgeable about products and offers … however more consumers feel they are actually better connected than sales associates Consumers’ expectations of interactions with store associates 65% Be knowledgeable about products 62% Help me check out quickly 54% Let me know about discounts/offers Greet me promptly with a welcoming attitude 44% Has the ability to match any other retailer's prices Assist me with finding gifts In general, do you feel you are better connected to consumer information, including coupons, competitive pricing, and product availability than store associates are? YES = 59% 35% 25% Responses under 25% not shown 25 Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 27. While in a store, a knowledgeable associate can make the difference During the holidays, more likely to purchase in-store from a retailer offering … Knowledgeable store associates 54% Self-service/mobile checkout 22% Barcode scanners to confirm product prices and features 22% Personalized coupons/offers through my smartphone 19% Personalized coupons/offers through social networking sites 18% WiFi access for comparison shopping 26 • 37% prefer shopping in the physical store rather than online for holiday products • 32% feel store associates can provide customers a better shopping experience when equipped with the latest mobile technologies 14% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 28. If using a self-help technology in-store, “price checkers” and “self-checkout” are the ones most expect to use Will use self-help technologies: 58% Among those planning to use self-help technologies in-store, here is what they plan to use Price checker 60% Self-checkout payment lanes 57% Retailer's mobile app 17% Information kiosks (e.g., access to the retailer's website) 16% Mobile payment (e.g., paying via a phone, tablet or laptop) Handheld product scanner 13% 12% Digital signage 11% Video screens demonstrating products 10% Electronic shelf labeling 27 9% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 29. If a product is not available on the store’s website, only a few will stay with that retailer — three-quarters would go to another store, either online or in-person If the product wasn’t available on a store’s website, which would you most likely do first? Go online to another store's website 34% Go online to another website (search engines, price comparison sites) 34% Go elsewhere Go to another store in-person (different chain/name) 9% Go to same store in-person (same chain/name) Would not continue shopping for the product 28 77% 13% 4% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 30. If a product is not available in-store, almost half will go somewhere else, especially males and younger consumers If the product wasn’t available in the store, which would you most likely do first? Go to another location of the same store (same chain/name) or ask a store associate if another location has the item 24% Go online to the same store's website 45% No Store Loyalty Go to another store (different chain/name) Store Loyalty 20% Go online to another website (search engines, price comparison sites) 18% 7% Go online to another store's website Would not continue shopping for the product 47% 23% 4% Gender Age Male No Store Loyalty 29 Female 18–24 25–34 35–44 45–54 55+ 51% 40 50% 47% 42% 44% 43% Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 31. Among the two-thirds who “shop local,” the reasons center around supporting the local economy and finding unique gifts Will you shop at local retail stores*? YES = 66% *Local retail stores are defined as small businesses, independent retailers, or boutique shops which are not part of national chains. For what reasons will you shop at local retail stores? To support the local economy 60% To find one-of-a-kind gifts 53% It is more convenient 44% Excellent customer service 39% It is critical to the overall health of the U.S. economy 30% Greater loyalty to the local retail store 30% Special deals or offers from these local retailers 26% Personal relationship with store owner 19% Free services (i.e., gift wrapping) 18% 34% 30 Average percentage of total holiday budget spent on local stores Copyright © 2013 Deloitte Development LLC. All rights reserved.
  • 32. About the survey The survey was commissioned by Deloitte and conducted online by an independent research company between September 13–23, 2013. The survey polled a national sample of 5,018 consumers and has a margin of error for the entire sample of plus or minus one percentage point.
  • 33. This presentation contains general information only and is based on the experiences and research of Deloitte practitioners. Deloitte is not, by means of this presentation, rendering business, financial, investment, or other professional advice or services. This presentation is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. Deloitte, its affiliates, and related entities shall not be responsible for any loss sustained by any person who relies on this presentation. About Deloitte Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/about for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms. Please see www.deloitte.com/us/about for a detailed description of the legal structure of Deloitte LLP and its subsidiaries. Certain services may not be available to attest clients under the rules and regulations of public accounting. Copyright © 2013 Deloitte Development LLC. All rights reserved. 36 USC 220506 Member of Deloitte Touche Tohmatsu Limited