The holiday season is a critical time for advertisers because consumers are expected to spend big this year. According to the National Retail Federation (NRF), holiday retail sales will increase between 4.3 and 4.8 percent over 2017 for a total of $717.45 billion to $720.89 billion in 2018.
Based on data from ZypMedia, when it comes to local businesses, it isn’t just the typical “shopping” category that experiences a spending boost during the holiday. Local automotive dealers, followed by home & garden, had the biggest share of advertising spend during the 2017 holiday season.
According to ZypMedia, advertisers should not wait until Black Friday or Cyber Monday to launch their campaigns. The Company found that the highest performing Click-Through-Rate (CTR), which is the measurement of the ratio between how many consumers are exposed to the ad and how many actually clicked the ad, took place between November 1 and November 12, 2017. In fact, the CTR in November is 125 percent higher than the average over the past year, indicating this month to be the most effective time for consumers to be engaged in holiday advertising campaigns.
Starting advertising early is critical so consumers are fully prepared when entering the holiday shopping season. According to the NRF, seven out of 10 consumers create a game plan two and a half months prior to entering stores and shopping online. Also 81% of consumers use up to six channels to find the best holiday deals and promotions, including internet searches on mobile devices, before completing a transaction.
Aman Sareen, CEO of ZypMedia says “Even if your product or service isn’t inherently holiday-esque, we have found that consumers are more likely to spend and are more receptive to digital advertising during the holiday season,” says the report, “The holiday season no longer starts on Thanksgiving or even a week prior, it starts November 1 for best results. To help local advertisers stand out among the competition, ZypMedia recommends starting early and leveraging all available channels including linear TV, radio, digital, and over-the-top (OTT) this holiday season.”