Getting the best price empowers online shoppers

How did shopper behavior play out and what might we expect to see in the coming months?

The following questions set the context for such a discussion:

• Will shoppers pay full price?
• Will they abandon their carts if they have to pay for shipping?
• From a promotions’ perspective, what percentage off seems palatable and when?
• Are expectations different for online and offline shopping?
• Is one’s behavior different for personal consumption vs. gifting vs. family needs?

A look at how our survey respondents selected retailers from a price and promotional point of view is instructive. Free shipping once again tops the list at 56%, while fair and competitive prices comes in at 41%. Appealing promotions, at 23%, are also on shoppers’ minds. For me, email offers, at 17%, were also an integral part of my 2022 holiday experiences and core to our discussion below.

I stepped out into the real world, and that is when the world of promotions spoke to me. It was post-holiday, and the stores in a suburban Chicago shopping mall were abuzz. Those emails were just the push we needed.

I was drawn to visit Aerie, part of the American Eagle family of brands, because of an email that touted Happy New Bras all $25+. As my daughter shopped around, the retailer had designated products for sale, but many were still full price. The store was quite busy on this Saturday afternoon with at least six people waiting in the checkout line.. Three out of four items were on sale, so the numbers were on her side. Being in the store actually meant buying more.

On Jan. 10, I received an “I miss you” email from Lululemon. The offer was to take 25% off up to 15 items for a limited time only. My initial reaction was they never have sales like this. A coworker shared as well and, ironically, was only offered 20% for the same promotion. The only sales offer I usually will find from Lululemon is the “we made too many” products, which are typically final sale. Unfortunately, my daughter had already purchased several items full price, so I would be unable to take advantage of the promotion for these purchases. It certainly is an opportune time to kickstart 2023 revenues.

Another athleisure store in the mall had an email promotion on Dec. 30 with a powerful message: “Up to 70% ends tonight.” Alo was new to the mall, so we looked around the store. Everything was perfectly assorted, and I didn’t see a sale rack. When I asked the associate, she let me know that sale items were only online. It can be frustrating to be an all-channel shopper, as the lack of consistency makes it challenging for the shopper to get the best deals. This channel-specific approach bodes well for still getting the sale, as you are a captive audience. That’s exactly how it played out, as we bought three full-priced items.

When I think back to my own purchases, most were not on promotion. Kohl’s, which has a business model I’ve never embraced, was one of the few where I came up a winner. My daughter’s wish list contained a weekender bag and, to be honest, I wasn’t sure where to go. Being budget-minded this holiday season, I did a Google search, and the Kenneth Cole that they featured for $175 was marked down to $70. It looked like a classic choice where I couldn’t go wrong and hey, if she didn’t like it, I could always return it.