Author: Victor Texcucano, Content Coordinator, RAB
Electronic retailers are one of the more popular places where consumers shop for gifts for loved ones. Whether it’s a new tablet for the kids, a new laptop for a college student or a brand-new 80” 4K TV for the living room, electronic retailers sell many high-ticket goods valued by all consumers.
It’s never too early to think about winter holiday season, but summer may be the perfect time to start focusing on what people may start purchasing in the next few months as we quickly approach the big shopping season.
In 2023, holiday sales rose 3.8% year-over-year to $964.4 billion, according to the National Retail Federation (NRF). This reflects a return to pre-pandemic days in which, according to NRF, average sales growth during the holiday season was around 3.6%.
The holiday season is no longer confined to the last few months of the year. These days, it is important to keep deal-seekers interested in products they can give to their loved ones, or even buy for themselves.
So, what should electronic retailers know about those shopping in the 2024 holiday season? For one, at least 16% of U.S. consumers have already begun shopping for the holidays, per June 2024 data by CivicScience.
Electronics retailers should keep this in mind and promote sales and inventory availability throughout the year to attract consumers searching for the best deals. With consumer economic concerns, they are financially wary and are spreading out their holiday spending. This was also evident in 2023.
Over sixteen billion dollars was spent during the 2023 holiday shopping period using BNPL (buy now, pay later) plans, per Adobe Analytics. This shows the evolving way in which consumers are shopping for the holidays.
Electronic retailers, however, have significant competition, mainly coming from big-box stores, like Walmart or Target, and especially from e-commerce retailers such as Amazon, who alone accounted for 28% of all retail growth in the first quarter of 2024, per CNBC.
The good news is that according to 2023 MRI-Simmons data, 37% of those who said they’ve browsed Amazon in the last 30 days said they do research on products online then purchase it in-store.
An additional 81% of those who browsed Amazon recently said they like to shop around when deciding on their purchase. It is also important to note that according to eMarketer, 81.1% of total holiday retail sales happened offline.
Radio is a great way to reach consumers who buy and use electronics. Eighty-six percent of consumers who own a personal computer listen to radio. Additionally, another 86% of consumers who have spent $200+ on computer software in the last 12 months also listen, per MRI-Simmons. And within the next 12 months, 52% of radio listeners intend to purchase electronics such as a tablet, smartwatch, home theater system or others.
Radio also reaches 89% of consumers who have spent $100+ on audio equipment and accessories, like surround sound speakers or home theater/entertainment systems.
When including broadcast radio for an electronic retailer campaign, these advertisers should promote the potential cost savings and “deals” available. Radio listeners are more concerned about inflation compared to nonlisteners, although radio listeners have more discretionary income per 2024 Provoke Insights data. Fifty-six percent of radio listeners are saving money compared to 45% of nonlisteners when asked to describe their current financial situation.
Radio also influences behavior. Based on Provoke Insights data, 62% of radio listeners sought information online after hearing an ad and 88% purchased a product or service after that radio ads exposure. This is important too for electronic retailers to note since the data also shows that radio listeners are more likely than nonlisteners (21% versus 26%) to be swayed to trial a new brand.
While the official holiday season is months away, consumers have already started their shopping process. Electronics can be high ticket items so savvy shoppers will be on the lookout for deals and inventory. Retailers who are focused on electronics sales should amp up their opportunity to increase sales now through the holiday shopping period. Using broadcast radio to serve up and communicate deals is a way for retailers to boost online retailer website traffic and drive sales.