Top 10 holiday trends of 2023 you need to know to boost sales
Consumer preferences and behaviors change quickly, especially in uncertain times. With the pandemic almost in the rear view mirror and inflationary pressures ramping up, this holiday season looks to be different than the last few years.
Successful small business owners understand these trends and plan their marketing and advertising strategy to meet holiday shoppers in the moment. Staying ahead of holiday shopping trends and being responsive to shifts in consumer spending is crucial for a successful holiday campaign.
Here are the top 10 trends for 2023 to keep in mind as you plan your holiday marketing campaign and calendar. These trends will help you adapt to the evolving landscape of holiday shopping and consumer preferences, ensuring your business thrives during this holiday season.
Neighbors are starting their holiday shopping early. Supply chain issues and inflationary concerns are driving neighbors to kickstart their holiday sales shopping sooner rather than later. Fifty percent of Nextdoor neighbors* will begin their holiday shopping a month or more in advance of the season.
Nextdoor tip: Claim your Nextdoor Business Page now to be discovered locally.
2. Retailers remain a key source of shopping inspiration on and offline. More than 70% of consumers plan to use a retail touchpoint like physical stores, retail websites, or brand sites to start their holiday gifts shopping. Neighbors are relying on your expertise for the best gifting ideas.
Nextdoor tip: Complete your Nextdoor Business Page with your store address so neighbors can visit in-person, and include your website so they can research your products online.
3. The popularity of gift cards continues to grow. Supply chain issues have led to empty shelves, out-of-stock items, and shipping delays, which has increased the purchases of gift cards as part of the holiday retail trends For 2023, experts expect that 55% of Americans will purchase at least one gift card during the holiday season.
Nextdoor tip: Include a URL for gift card purchases on your Business Page to enable neighbors to easily purchase one while online shopping.
4. Rising inflation will affect holiday shopping and spending. Nearly 9 out of 10 consumers expected inflation to have had an impact on their consumer spending during the previous year, where 59% said the impact will be moderate or significant. This year, consumers are still expecting to spend, but sales and discounts will matter more with inflation-induced thriftiness.
Nextdoor tip: Forty two percent of Nextdoor neighbors* spend time looking for the best deals. Promote your sales via a Nextdoor Ad.
5. Influence for holiday gift purchases comes from social media – and neighbors. According to McKinsey, 58% of consumers say social media will influence their online shopping holiday buying decisions. On Nextdoor, 72% of neighbors* report being influenced by a neighbor's recommendation, providing valuable insight into the products and services they choose.
Nextdoor tip: Use a Business Post to tap into your loyal customer base and ask for recommendations on Nextdoor to help strengthen your local reputation. 96% of Nextdoor neighbors have seen business recommendations on Nextdoor, so more recommendations means more visibility for your business. All recommendations appear on your Business Page, which builds trust with neighbors.
6. Home products and services are top of mind for consumers. Spending so much time at home during the last three years has influenced the kinds of gifts consumers buy: 33% of shoppers plan to buy home products, like single brew coffee makers, robotic vacuums, and electric toothbrushes, as gifts for the upcoming holiday season. As a read through, home services businesses benefit three times more* from advertising on Nextdoor during the holiday season, which means neighbors are looking for help with things around the home, like hanging holiday decorations, house cleaning, window washing, and more to meet increasing consumer demand around their neighborhood.
Nextdoor tip: If you sell home products or services, use your free and unlimited Business Posts to inspire neighbors with gift recommendations and product reviews.
7. Consumers will continue their holiday shopping into January. Don't put those decorations away too soon. Thirty two percent of consumers plan to shop the week after Christmas, and 45% plan to shop in January to take advantage of post-holiday sales, use up gift cards, and even score some holiday purchases for themselves.
Nextdoor tip: Continue marketing your sales and promotions into January using Nextdoor Ads. Nextdoor neighbors love a good sale: 43% look for discount codes or coupons* and are 30% more likely to wait for holiday sale events to make major purchases*.
8. An online presence is essential. Neighbors depend on ecommerce for almost all their holiday needs. Researching, bargain hunting, and online shopping are done whenever possible. 45% of Nextdoor neighbors research products online before buying them*, and 42% spend time looking for the best deal* through online sources.
Nextdoor tip: Claim your Business Page and boost your business with Nextdoor Ads, which get higher placement in search results, the Discover tab, and in the newsfeed, the most popular place on Nextdoor.
9. Retailers are getting more involved with their community. Neighborhoods thrive when small businesses thrive. Consumer sentiment plays a crucial role in supporting local retail sales. 68% plan to participate in more community initiatives, and 1 in 3 will be partnering with other local businesses, participating in local events, and donating supplies to community organizations to bolster consumer sentiment and boost retail sales.
Nextdoor tip: Claim your Business Page to connect directly with neighbors and organizations. No need to build a following – they are already there.
10. Automated technology helps small businesses manage labor shortages. The impact of the Great Resignation still lingers as small businesses continue to deal with a tight labor market during holiday spending. Taking advantage of automated technology can help you get more done with fewer people.
Nextdoor tip: Use Nextdoor Ads to automate your online marketing. Create an ad in a few easy steps. Then, set it and forget it. No marketing experience is required.
The holiday shopping season will look different in 2023, so make sure your business is ready.
Use this round up of holiday trends to get a head start on your holiday marketing strategy. Plan ahead for when you’ll start promoting your business, and use Nextdoor’s Business Page, Business Posts, and Ads to turn neighbors into customers.
*Source: Internal Nextdoor Data
*Source: Internal Nextdoor Data