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Predictions for the COVID-19 Pandemic-hit Holiday Season

Predictions for the COVID-19 Pandemic-hit Holiday Season

Massive hit on in-store shopping

The COVID-19 pandemic has resulted in a dip in in-store shopping.

51% of Holiday Shoppers feel anxious about in-store shopping. - 2020, Deloitte, Holiday Retail Survey

73% of customers are planning to have their items delivered vs. 62% in 2019. -2020 Deloitte, Holiday Retail Survey

Massive hit on in-store shopping

Average shopping duration expected to reduce

The average shopping duration of customers this holiday season is expected to shrink by a week and half compared to previous years.

Year Average Shopping Duration
2018 7.1 weeks
2019 7.4 weeks
2020 5.9 weeks

Source: 2020, Deloitte, Holiday Retail Survey

Customers will value retail proximity and online engagement

Local stores and online shopping will bring in the holiday cheer

69% of customers prefer shopping at a store closer to their residence. -2020 Deloitte, Holiday Retail Survey

60% of customers prefer online stores rather than a physical store during the upcoming holiday season. -2020 Deloitte, Holiday Retail Survey

58% of customers prefer to travel 10 miles or less to get a gift from a retailer. -2020 Deloitte, Holiday Retail Survey

43% of customers prefer shopping at local retail outlets than national retail chains. -2020 Deloitte, Holiday Retail Survey

Customers will value retail proximity and online engagement
Longer Delivery Windows for delivering gifts

Longer Delivery Windows for delivering gifts

Due to the prevailing COVID-19 pandemic, consumers are willing to provide a breathing space for retailers to deliver gifts. Retailers must be clear about communicating order status, timing, and fulfillment alternatives.

9 in 10 shoppers (89%) are willing to give retailers extra time to deliver packages this holiday season. - Convey, Fourth Annual Study

74% of shoppers are willing to grant one or four extra days for delivery. 16% of shoppers are willing to wait five or more additional days for delivery. - Convey, Fourth Annual Study

58% of shoppers say that they are more likely to complete a purchase if Estimated Delivery Date (EDD) is visible in the cart prior to starting the checkout process. - Convey, Fourth Annual Study

New-found Importance of Omnichannel Shopping

To minimize their time spent in the store, customers may also pre-plan their shopping trip.

78% of Holiday Shoppers who visited a store turned to online search before going into a store. - U.S., Omnichannel Holiday Study, Holiday Shoppers who visited a store in the past 48 hours, Nov. 2017–Jan. 2018

Customers will value retail proximity and online engagement
An expected decline in  spending intentions

An expected decline in spending intentions

38% of consumers plan to spend less this holiday season, a level that was not seen even during the financial crisis. -2020, Deloitte Holiday Retail Survey.

Why this drop?

50% customers are more concerned about the economic instability. -2020 Deloitte, Holiday Retail Survey.

40% prefer to save more instead of spending. - 2020 Deloitte, Holiday Retail Survey

Free shipping vs Fast shipping: Majority of consumers will prefer free shipping

Customers are willing to pay only minimal amounts for faster delivery options

85% of consumers prefer free shipping compared to 15% consumers who prefer fast shipping. -2020 Deloitte, Holiday Retail Survey

Shipping options Extra amount consumers are willing to pay Percentage of consumers ready to pay this extra amount
Same-day delivery $5.7 30%
Next-day delivery $3.9 36%
2 Day delivery $1.9 60%
3-7 day delivery $0.5 88%