Australians are embracing the holiday shopping season earlier than ever, with recent research from Shopify indicating that 53% of consumers plan to complete their shopping lists by October and 58% intend to finish most of their purchases by the end of November. This trend is particularly notable among families, with 70% of parents aiming to finalize their lists by October and 68% planning to complete their shopping by November.
In anticipation of the upcoming Black Friday-Cyber Monday (BFCM) sales, which are expected to create a shopping frenzy for both consumers and retailers, Shopify surveyed 2,000 Australian shoppers. Almost half (49%) indicated they would conduct the bulk of their holiday shopping during this weekend, which runs from November 29 to December 2.
A significant portion of shoppers (56%) plans to establish a clear spending budget, yet 36% admit to often exceeding their holiday budgets. The highest spenders this year are likely to be those who cherish the festive shopping experience, making up 9% of respondents. Additionally, parents with children at home anticipate spending more than double what individuals without children or those whose children have moved out are likely to spend. Conversely, a small segment of the population (10%) identifies as “grinches,” expressing a dislike for the holiday season and planning to spend the least.
Paul Zahra, CEO of the Australian Retailers Association (ARA), commented, “The ongoing impact on discretionary spending means consumers are being exceptionally strategic with their finances. This reality is evident both at the checkout and in Shopify’s findings. Many discretionary retailers rely on the holiday shopping season for a significant portion of their profits. However, shifting consumer habits necessitate that they adapt their strategies for an earlier gift-buying period, catering to customers who are on the hunt for the best deals sooner.”
To effectively reach busy shoppers, retailers need to communicate their deals earlier. While 39% of Australians have subscribed to brand updates to access the best BFCM deals, this figure rises to 65% among those intending to spend over $430, 57% of young adults aged 25-34, and 56% of parents with children at home.
Shaun Broughton, Managing Director of Shopify JAPAC, emphasized, “Merchants must strategize for an extended sales season as consumer behavior shifts towards thoughtful planning instead of impulsive buying. Our observations show that Australians who plan to do most of their shopping online are beginning their preparations earlier than those who prefer in-store shopping. Understanding when different consumer segments are planning and shopping can aid retailers in optimizing their communications, managing operations, and tailoring their merchandising strategies to maximize the festive shopping potential.”
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