Industry Insights: December 6, 2023

Shopping Frenzy 2023: Turbo

Greetings friends! Eat, drink, and be merry for tomorrow we have to pay for all of those presents we purchased on credit. Today, we’re talking Black Friday, Cyber Monday, and market mayhem. Let’s go!

Big-Picture:

The analysts thought Black Friday was losing its sparkle, but boy, did shoppers prove them wrong! 🛍️🎉 US online sales skyrocketed to a whopping $9.8 billion, a 7.5% increase from last year. And hold onto your shopping bags because Adobe predicted that Cyber Monday will break records with a forecasted $12 billion in sales. They were right: a cool 12.4 billion raked in! Doesn’t it feel good to win at something together?

But wait, there’s more! “Buy now, pay later” services stole the show, surging 47% and racking up $79 million in Black Friday sales. Turns out, we love instant gratification.

While Black Friday is a retail superstar, it might not be MVP. Q4 claims 26.8% of annual sales, just a smidge more than a 25% spread. So keep the Christmas shopping “spirit” all year long. 

The stock market had a wild ride, with the S&P 500 climbing an impressive 8.7% in November. It’s time to put your hands up for your 401k because it’s a party in the USA.

And speaking of happiness, forget the old rule that says happiness caps at $75,000. A new study shows that money CAN buy more happiness: happiness that keeps growing, even beyond a $200,000 salary. Now, if only money grew on trees.

Marketing Industry:

This year, Black Friday turned into Mobile Friday, with 54% of online sales happening on mobile devices. Believe it or not, Mobile is on track to outshine desktop purchases for the very first time this holiday season. I hope you enjoyed the thumb-tastic shopping spree!

But wait, before you hit “return” on that impulse buy, think again! Returns are getting trickier, with 44% of retailers now charging shipping fees. Blame it on the pandemic’s online shopping surge and the colorful array of sizes and colors shoppers hoard. Returns are soaring 14% higher than pre-pandemic times. So you’ve got to keep those shoes that didn’t fit.

Have you ever heard of “girl math” or the “refund effect”? It’s a fascinating phenomenon where refunds feel like money has already been spent. So, shoppers are more likely to treat themselves to another purchase instead of a refund. Businesses, take note: offer store credit or swapsies to keep those dollars in your pocket!

Just for Fun:

Spotify’s closing the curtain on a creator’s loophole. No more cashing in on “noise content” podcasts like endless whale noises. Adieu to the era of Spotify’s nearly $1 billion royalty payouts to artists going down the drain.

Get ready to hit the road (or off-road) because the Tesla Cybertruck is finally rolling out! After its 2019 announcement, the wait is over. Tesla lovers, start your engines! 🚗💨

Those are all our industry insights, for now, friends! I’m off you find some new brown noise tracks on Spotify.

Your friendly Industry Insights devotee, 

JD