The 2017 holiday season is shaping up to be a promising one. Consumer discretionary spending has been bolstered throughout the year by low unemployment, a growing stock market and a more optimistic consumer. Although aggregate spending trends are pointed in the right direction, that’s not to say that every retailer is sharing in the gains proportionately. In fact, we’ve seen thousands of retail store closings, consumers shifting their spending toward different sectors of the retail economy and the rise of Amazon putting pressure on many retailers’ bottom lines.
Still there is plenty of room for retailers to feel good about their prospects this holiday season – as long as they keep their eyes on the make-or-break trends. Here are five dynamics for retailers that we believe could mean the difference between a strong or weak holiday season:
2017 is looking like it’s going to be a very strong online holiday season, but success isn’t guaranteed for all. The retailers who outperform will be the ones who get the product mix, promotions and pricing right. Meeting the needs of consumers and marketing to them effectively is the best way to boost that bottom line in a very complex and dynamic retail environment.
For more insights on e-commerce and the holiday shopping season, download the State of the U.S. Online Retail Economy in Q3 2017 presentation today.