Reining in holiday shopping with ‘in the moment’ personalization

By Tim Mason, CEO, Eagle Eye

It seems the holiday shopping season starts earlier and becomes more unpredictable every year.

A recent McKinsey Consumer Pulse Survey found that 56% of consumers this year began shopping in October, while other 2022 surveys have found that many consumers started their holiday shopping much earlier (in September).

The shift to earlier shopping isn't the only consumer behavior-related challenge facing brands and retailers this holiday season. Sales periods have ballooned; for example, there are now multiple Amazon Prime “Days” spread throughout the year, and Cyber Monday takes place over weeks, not a single day. New modes of shopping are also becoming more popular, like last-minute delivery through a service like GoPuff or buying through a TikTok streaming event. The traditional holiday retail calendar and playbook are less reliable guides for retailers and brands every year.

Imagine if they didn’t have to deal with all that unpredictability and just met shoppers in the moment?

Advancements in data analytics and personalization capabilities have enabled retailers of all kinds, whether they are regional grocers or national mass merchants, to move towards meeting consumers “in the moment” when they’re actively looking to engage with content or shop items.

Using a new approach to personalization called Marketing in the Moment, retailers can deliver one-to-one messages to consumers based on their shopping history and a whole host of contextual data points, including seasonal factors. Those can include how a person likes to shop and in what channel to enable effective targeting of shoppers in prime moments throughout the holiday season and beyond.

It doesn’t matter if it’s September 4 or December 22 or online or in-store; in-the-moment marketing finds shoppers when it matters most to them. And there are countless moments to explore, each personalized to a unique shopper.

The concept of Marketing in the Moment relies on the blending of shopper data, such as purchase history and loyalty card data, demographic input, and behavioral and environmental factors to contextualize offers and content that will appeal to a shopper at the specific moment they’re in at that time.

Previously, a retailer may have identified a group of consumers with similar shopping histories and traits and constructed a blanket holiday message with a blanket promotional offer that feels personalized. But the retailer is essentially crafting the same offer and the same content to be delivered to every consumer at the same time and on the same day.

During the holidays, even among a group of customers who on the face of it, look similar, there will be huge differences in how they shop, when they’re most likely to engage with a retailer and the context in which they all live will be totally unique to them. All of these reasons significantly impact how they should be communicated with and with what content. With a Marketing in the Moment approach, retailers can deliver truly personalized content which resonates.

Here are a few examples:

A regional grocer can personalize content to a Gen Z male shopper using location data to see that he is in the wine aisle inside a store; additionally, the grocer can factor in that it is early evening on a Saturday, look at his purchase history for the varietal of wine he likes, and deliver a personalized message to his mobile phone, notifying him of a $2-off coupon for a recommended bottle of pinot noir. The grocer can add a message that says it’s the perfect bottle to bring to a dinner party and refine the content to perfectly capture the moment he’s in.

Similarly, working with that red wine manufacturer, a regional grocer can personalize content to a mature female shopper, knowing she is shopping from home earlier in the day. The grocer can send an email to add a gluten-free red wine to the online cart, knowing her dietary restrictions, and alert her to add the bottle even though her order is in process. The message can spur an impulse purchase that adds to the value of the online shopping cart.

For retailers, there are many holiday moments to uncover. Maybe it’s a moment personalized around finding a gift before it goes out of stock? Or perhaps it’s another message for last-minute dinner rolls to round out a party. To find these moments, the critical (data) keys all lie within the context.

It doesn’t matter if it’s September 4 or December 22 or online or in-store; in-the-moment marketing finds shoppers when it matters most to them.

Marketing in the Moment model can level the playing field through data

To execute a Marketing in the Moment strategy, retailers can combine access to customer data with learnings from key contextual triggers such as:

• Environmental cues — looking at weather like a snowfall, local events like a holiday festival occurring, seasonal goods, and more.
• Location — considering where the shopper is physically (at home, in the store, moving down an aisle, riding public transportation, etc.).
• Activity — knowing what the shopper is doing, perhaps viewing a mobile app, shopping online, preparing a shopping list of gifts, etc.
• System triggers — accounting for a shopper’s loyalty program activity, social media engagement with the retailer, chatbot use, and so on.

Of course, Marketing in the Moment can be used year-round to personally reach shoppers. But there is no time like the holidays. The holiday season is ripe for retailers to replace impersonal messaging with relevant promotional offers and content that can ease some of the shopping stress during a hectic and challenging unique time.

And for consumers? Marketing in the Moment is a welcomed season’s greetings, helping them find gifts or plan parties. For retailers, it’s also another way to grow sales, control stock levels, and bring stability to a pivotal holiday shopping season ahead of whatever 2023 may bring.

How to Target and Convert Holiday Shoppers Amidst Economic Uncertainty

By Melissa Tatoris, Vice President of Retail, Zeta Global

Many consumers are tightening their belts when it comes to holiday shopping this year. With inflation at a 40-year high, ongoing supply chain issues, the economy top of mind, and a recession looming, this comes as no surprise. As we know, lower and middle household incomes are feeling the pinch, whereas higher incomes are projected to spend more than last year. But it’s not all doom and gloom -- brands can still capture their slice of consumer spending with a more nuanced strategy than in years past. Here are predictions and tips for the 2022 holiday shopping season and how brands can prepare accordingly, based on Zeta’s latest holiday retail survey.

In a survey of thousands of shoppers across North America, 68% of consumers said they’ll spend the same amount (26.65%) or less (26.37%) this year, and nearly 28% will focus on price over brand loyalty or even convenience. Getting more value out of a product will be key. Highlight the quality of your products, as consumers in a recession will want items that last and that they don’t have to replace. Show how shoppers can get multi-use out of certain items. For example, how can they add a new trendy piece to their current wardrobe to update - rather than replace - what’s in their closet?

The majority of those who will shop (67%) will shop closer to the holidays. However, this doesn’t mean they’ll shop on the traditional peak holiday sales days such as Black Friday or Cyber Monday. Zeta data revealed that over half of consumers say these days aren’t as important as in previous years.

By no means should you ignore these key dates—you just don’t need to focus all your efforts around them. In fact, the bulk of your conversions will likely take place in late December, so be mindful of having enough budget to extend campaigns well into the end of the year. Target high-value audiences that will drive greater ROI. Work with the right partners to harness intent and interests to reach only those most valuable customers and their look-alikes based on demographics, sentiment, location, psychographics, and more.

This year, more than any other, is an opportunity to edge out the competition with highly relevant and personalized marketing messaging that shows your audience you truly care about their shopping behaviors.

eCommerce shopping will remain steadfast this year, but the majority of Americans will be shopping in stores, with department stores and discount stores taking center stage. Data is showing those with incomes less than $75k will remain with tighter budgets, shop at discount stores, and spend less than in previous years. On the flip side of the coin, those with greater household incomes are expected to spend more and shop in boutiques and luxury retailers.

Because of this shift back to in-store shopping, marketers must focus on “dwell time,” or ways to keep shoppers in their space. For example, Neiman Marcus in Dallas had an interactive snow globe that kids played in, while other stores and malls had visits from Santa last holiday season. Innovative in-store customer experiences are required to drive traffic and excitement to your brand. Executing on the experiential element using local partners for food samples, wine, DJs, free gifts, interactive games will bring steady foot traffic to your store.

Electronics will be one of the most popular categories of gifts this year, perhaps as consumers gear up for a long recession over the winter. Our shopper survey found that 18% are prioritizing gaming gifts and 17% are eyeing computers. Other “It” electronics items include Apple products, video game consoles, mini pocket projectors, and 3-in-1 charging stations. Almost a quarter of shoppers will also focus on experience-based gifts such as travel and concerts, and almost 37% will seek ways to package up supermarket and other CPG-type gift cards to defray the costs brought on by inflation and recession.

Focus on optimizing your search marketing and website ads, as almost 24% of consumers report finding out about new products via these channels. With the right data partner, you can attach likelihood to convert attribution scores to top audiences and strategically bid stronger for those that will have a better ROI. Make sure your SEO and metadata are up to date, so your brand pops up at the top of search results. Use technology that helps you understand which channels work best for each consumer -- so you don’t waste your budget. Gain access to real-time response data to bolster that 1:1 customer relationship. Be smarter about the items you’re promoting and who you’re targeting in each channel, so you don’t end up with low marketing ROI that results in losing budget next year.

Marketers can still reach their target consumers and convert them into paying customers during times of economic change. This year, more than any other, is an opportunity to edge out the competition with highly relevant and personalized marketing messaging that shows your audience you truly care about their shopping behaviors.