As the 2023 holiday season approaches, businesses face the challenge of outperforming sales forecasts in a market marked by modest growth predictions.
As the 2023 holiday season approaches, businesses face the challenge of outperforming sales forecasts in a market marked by modest growth predictions. With a forecasted nominal growth of only 3% (1% real growth) over 2022, compared to an average growth rate of 5.4% in the past decade (according to Bain & Company), companies must adopt strategic approaches to thrive. To succeed, businesses must be visible to consumers and convey compelling messaging, emphasizing the importance of targeting audiences with the right media.
The 2023 market landscape has garnered attention due to sluggish sales, with overall sales growth hovering around 3%. The increasing prominence of non-store sales, accounting for 25% between January and July, underscores the need for businesses to establish a presence both in physical stores and online. However, consumer sentiment has been cautious, influenced by factors like high inflation and changing financial circumstances.
Despite these challenges, opportunities exist. Businesses can benefit from audience targeting insights to enhance their marketing strategies. By utilizing the latest AudienceSCAN data provided by SalesFuel, companies can pinpoint consumer groups with a strong inclination to purchase gifts during the holiday season.
To succeed, businesses must be visible to consumers and convey compelling messaging, emphasizing the importance of targeting audiences with the right media.”— C. Lee Smith, CEO of SalesFuel
Two key groups stand out:
Parents of Kids Ages 6–9: These tech-savvy parents respond well to mobile app advertising and audio podcast ads, making them an attractive target for businesses. Their preference for small or independent businesses presents additional opportunities.
Gen X Consumers: Historically, this age group has been known for substantial holiday spending. They engage with special offers in emails and respond positively to streaming TV ads.
Furthermore, companies can amplify their campaigns by reaching out to trend setters, who wield significant influence over their peers’ purchasing decisions. These individuals are highly active on social media and frequently share positive product experiences, making them valuable advocates.
In a challenging market, success hinges on effective audience targeting, appropriate media selection, and compelling messaging. Collaborating with businesses to optimize these aspects will position you for a successful start to 2024.