Throughout the holiday shopping season, consumers go through many stages of behavior. While some external factors, like presidential elections and inflation rates, are variables that are subject to cause added stress, many of the shopping behaviors are, unsurprisingly, predictable.
With 99,000 searches made on Google every second, the tech corporation is in a unique position to see the moments when consumers shift from one stage to another. Kellie Fitzgerald, managing director at Google, described these shifts as a “flow,” with data suggesting that consumers actually transition between mindsets quite easily depending on the month.
Google breaks out the holiday consumer mindset into four key categories as “deliberate” (consumers who shop during October and November), “deal-seeking” (consumers who shop during Amazon Prime Day, Black Friday and Cyber weekend), “determined” (consumers who shop during December) and “devoted” (consumers who shop post-season).
Understanding that consumers flow through different phases is important, said Fitzgerald, “because it demonstrates how shoppers aren’t static over the holidays. By recognizing these shifts, marketers can tailor their strategies to each stage.”
As an example, she said, a retailer offering detailed product information to a “deliberate” shopper early on, then switching to highlight deals to the “deal-seeking” shopper as sales day approaches, is a targeted strategy that leads to stronger customer connections and better results throughout the holiday season.
“With over half of holiday purchases up for grabs in December, Google can help you deliver relevant information in the moments that count,” said Fitzgerald. “Shoppers who found very relevant information are more likely to have used Google (69 percent versus 45 percent who did not find relevant information)*.
With the holidays less than a month away, Fitzgerald noted that holiday shopping doesn’t stop on Dec. 25. The “devoted” shopper is continuing to hunt for gifts — both for loved ones and themselves. This consumer represents a significant revenue opportunity for retailers who are able to “capture this post-season shopping demand by keeping momentum after Christmas and investing in loyalty programs and App campaigns to meet self-shoppers.”
In the 2023 holiday season, a fifth of purchases were made using loyalty points. And 65 percent of U.S. holiday shoppers report that loyalty programs are important to them during the post-season shopping period1. The authors of Google’s research report added that loyalty also drives purchase confidence which is seen as being almost two and a half times higher among shoppers with a strong connection to a brand2. These confident shoppers, they said, are also 6 times more likely to want to buy again and 18 times more likely to recommend the brand to family or friends3.
Google suggests leveraging a brand’s app to boost loyalty programs. Sixty percent of iOS app users turn into loyal customers after their first purchase4, and the average combined spend of app and web users is over 31 percent higher when compared to solely web users5. Google’s Web to App Connect feature enables brands to deep link clicks on ads directly to the right page on the mobile app. This feature can be leveraged to drive incremental conversions for web campaigns and promotion assets for App campaigns to further boost sales potential by highlighting special offers.
Fitzgerald summarized by saying that “whatever your post-holiday strategy is, don’t miss out on capturing the fastest growing holiday sales period.”
*Google/Ipsos, AU, BR, CA, FR, DE, IN, IT, JP, MX, NL, SG, KR, ES, TW, TH, U.K., U.S., VN, The Relevance Factor, online shoppers 18+, found very relevant information (n=4,589), did not find relevant information (B2B) (n=2,903), March 2024.
1 Google/Ipsos, U.S., Holiday Shopping Study, N=8,467 online survey, Americans 18+ who conducted holiday shopping activities in the past two days, Oct. 2022–Jan. 2023.
2 Google/Ipsos, AU, BR, CA, FR, DE, IN, IT, JP, MX, NL, SG, KR, ES, TW, TH, U.K., U.S., VN, The Relevance Factor, repeat and strong brand connection (n=6,788), first time or not as strong connection (n=11,215), online shoppers 18+, March 2024.
3 Google/Ipsos, AU, BR, CA, FR, DE, IN, IT, JP, MX, NL, SG, KR, ES, TW, TH, U.K., U.S., VN, The Relevance Factor, high confidence at purchase (n=6,499), low confidence at purchase (n=3,587) online shoppers 18+, March 2024.
4 AppsFlyer, The State of e-Commerce App Marketing report, 2024.
5 MTM B2B and B2C qualitative interviews, survey question: On average, how much do you spend each time when making purchases through app? Base: Retail, use brand website (and not app) (n=818), use brand website and app (n=2,187), 2021.
Consumer Holiday Mindsets
Deliberate October AND November
More holiday shoppers than ever want to get an early start to shopping, needing to balance the rising prices of discretionary items while also finding the perfect gifts. For many this means spreading out spending. During Oct. and Nov. shoppers are being “deliberate” about the time and effort they will put into informing their purchases.
Deal-Seeking Cyber Week
Efforts put into early-season shopping pay off for shoppers shifting into the Cyber period and into the “deal-seeking” mindset. During this time, shoppers are ready to buy but want it to be on their terms. These consumers care about price, quality and value.
Determined December
As the holiday approaches, consumers shift into a “determined” mindset. Often half of shoppers’ lists are left to complete, meaning potential for retailers to earn significant revenue. This potential is especially true for omnichannel sales as shipping cutoffs make in-store shopping mandatory.
Devoted Post-season
After the peak shopping season ends, “devoted” shoppers are still browsing and buying – they’re devoted to shopping, not just the season. These consumers are looking for more gifts (and deals) or looking to treat themselves.