The busy winter period, from Black Friday to the festive season, holds the bulk of customer intent data for the entire year, as consumer spending peaks.
Based on market research at Nano, we expect to see the following changes from the 2023 seasonal period.
1 – Changes in Gifting Habits:
Gifting habits have taken a significant turn during the Q4 seasonal period. People are shifting away from traditional gifts and moving towards more practical options, showing a 45% increase in purchases of items that are useful and functional. Alongside this trend, experience-based gifts are also gaining popularity, with a remarkable 33% surge in demand for gifts that offer memorable activities or moments. This shift signifies a transition from fleeting presents to gifts that truly make a difference in people’s lives.
2 – Effects of Inflation and the Cost of Living:
The dynamics of inflation and the cost of living crisis have inevitably influenced consumer behaviour during this period. As living costs rise, consumers are displaying a heightened interest in seeking out deals and discounts. Black Friday, renowned for its bargain bonanza, has witnessed an impressive 63% spike in participation, while the allure of Boxing Day sales has escalated by 25%. These figures illustrate how economic fluctuations directly impact shopping patterns, as individuals prioritise value-driven shopping experiences amidst economic uncertainty.
3 – Decline in General Gifting:
The tradition of gifting, while changing, has encountered a slight downturn, as indicated by an overall 8% decrease in general gifting. This downward trend, however, isn’t arbitrary. In fact, research conducted by KPMG offers insights into this phenomenon, revealing that a notable 5% of consumers have intentions to forgo gift purchases entirely in the year 2023. These shifting sentiments reflect on the broader effects of inflation and rises in the cost-of-living.
4.1 – Macro Economic Changes: Electric Heaters in Demand:
Macro-economic changes have wielded a substantial influence on the demand for specific products during this Q4 period. For instance, a surge in gas prices during Q4 2022 prompted a remarkable 120% increase in the purchase of electric heaters. This shift in consumer behaviour underscores the direct correlation between external economic factors and the products individuals seek to acquire, as they adapt their choices based on changing circumstances.
4.2 – Rise in Popularity of Air Fryers:
Among the diverse shifts in product demand, the popularity of air fryers stands out prominently. Between November 2021 and November 2022, these innovative kitchen gadgets experienced a significant 16% surge in demand. This rise in popularity reflects evolving consumer preferences and highlights the capacity of market trends to reshape the desirability of products over a relatively short span of time.
Nano’s Role in Understanding and Intercepting Trends:
In this dynamic landscape of evolving trends and consumer preferences, Nano brings unique access to intent data. With our insights into the seasonal market, Nano is well-equipped to reach users precisely when they are poised to make purchasing decisions. Armed with real-time insights, Nano becomes a guiding force in navigating the ever-changing landscape of gift-giving and consumer behaviour.
