The ecommerce Super Bowl is coming in hot.
Teams from Glossier, Brooklinen, Kith, Skims, Our Place, Gymshark, and others are heading to the Shopify stadium for the annual DTC growth championship. Are you ready for this year’s game?
By the way, it’s expected to be longer than previous years, so make sure you don’t just tune in for the halftime show. Here’s what we mean…
Customers are already thinking about BFCM: Almost 6 in 10 shoppers start their holiday shopping in October or November, and 44% plan their Black Friday purchases more than a week in advance. Sentiments are high, and so are consumers' budgets — a welcome change from last year, when shoppers were wary of the economy.
What else is in store for BFCM 2024? We don’t have a list of predictions, we have insights given to us directly from shoppers themselves on how they plan to engage with brands this holiday season.
Here's the state of ecommerce during BFCM 2024 and tips from top experts to set your business up for success in 2025.
Methodology
This report will help you better understand your target audience while discovering tips specific to your brand. We partnered with a market research firm, Savanta, to conduct the survey. In total, 1,161 completed surveys were received from consumers representing all generations, incomes, gender identities, relationship statuses, and education.
We also had some rules about who could participate. Criteria included:
- Must be 18 or older
- Must have purchased an item online in the past three months or more recently
- They had to indicate they preferred to shop online using a combination of their smartphone and computer
- Must have made a Black Friday / Cyber Monday purchase last year
A minimum number of responses were received from shoppers in five product categories:
- Fashion & Apparel
- Beauty & Cosmetics
- Home Goods
- Health & Wellness
- Food & Drink
To ensure high-quality responses, the data survey was strategically verified and cleaned, with QA procedures to remove inattentive and inconsistent respondents.
Executive Summary
Early Black Friday Fever – Why Shoppers Can't Wait
Among our respondents, almost 6 in 10 start their holiday shopping in October or November, though a sizable minority will shop for the holidays at any point during the year. We’ve noted a significant drop in shopping frequency during the holidays in favor of shopping events like Amazon Prime Day.
And although it doesn’t coincide with the holiday season, Amazon Prime Day has become a key shopping event in recent years. This shift is indicative of broader trends in consumer behavior, particularly toward convenience, budget-consciousness, and the appeal of extended sales periods. Ties to an established holiday or shopping season are optional for a highly anticipated, large-scale savings event.
Mobile Shopping Apps Are The Reigning Champs of 2024
Mobile shopping apps are overwhelmingly the top choice for holiday shoppers in 2024. 81% of consumers plan to use mobile shopping apps during BFCM, compared to only 68% in the past two years. Meanwhile, shopping via desktop browsers is declining, with only 50% of respondents planning to use them — down 7% from 2023.
While the universal trend toward mobile apps is undeniable, Baby Boomers are significantly less likely to use mobile devices for shopping, whether apps or mobile browsers (cue the Progressive commercial of parents struggling with their phones). We’ll dive into potential opportunities to educate this generation of shoppers and get them on the mobile app train.
Smart Shoppers Are Planning and Budgeting Like Never Before
44% of shoppers plan their Black Friday purchases more than a week in advance — up from 38% in 2023. Last-minute shopping is decidedly unpopular, with December being the least likely month to start. A motivating factor for advanced planning is that two-thirds of respondents are purchasing gifts for others during this time.
This year’s BFCM shoppers are most likely on a budget (only 14% have no budget), but that’s not to say they aren’t also inclined to indulge. Most shopping budgets are likely to increase or stay the same as last year, pointing to consumers' more positive perceptions of their spending power. 71% of shoppers anticipate spending between $100 and $500 during BFCM.
BFCM Loyalty Dilemma – New Shoppers vs. Regulars
More than half of shoppers plan to shop for new and known brands. Creating an enticing BFCM experience can be a balancing act between capturing new customers and rewarding your regulars. Especially when brands heavily cater to first-time shoppers, the response from returning customers is mixed.
35% of consumers feel annoyed by shopping experiences geared towards new customers. Older shoppers are much more likely to see this as a snub. Keep scrolling and we’ll cover how to stop subscriber churn during BFCM.
Gen Z Is Hooked on Digital Ads, But What About Others?
Gen-Z is highly influenced by TV ads, social media ads, and influencer content. Interestingly, 52% of Gen Z respondents are also particularly motivated by push notifications, beating out print, SMS, and even influencer content.
For Millennials, TV ads, social media influencers and ads, and promotional email content are the most influential. This group values digital interactions and a mobile-first experience. Meanwhile, Gen X and Baby Boomers find email, TV ads, and print ads to be the most persuasive.
With age, the influence of social media and mobile apps decreases, while television and email marketing increases. TV and SMS ads could be considered outliers. These have near-universal appeal, which only grows among older age groups.
The Risks of Irrelevant BFCM Spam
There is a chance of sending too many messages to shoppers, especially if the content isn’t relevant to their interests. When consumers unsubscribe, it’s usually because they receive too many messages from a brand, a sentiment shared by 66% of Gen Z, 65% of Millennials, and 62% of Boomers. However, only 56% of Gen X cites this as their primary reason.
For Gen X, messages irrelevant to their interests are another significant reason for unsubscribing. Meanwhile, 58% of Boomers report a lack of interest in the brand and products as a main reason for unsubscribing. BFCM messaging is generally well-received, though you must be careful to avoid overwhelming consumers.
CH 1: BFCM and Consumer Psychology
CH 1: BFCM and Consumer Psychology
Shoppers feel positivity around BFCM, but there’s a chance of overdoing it with Gen Z
Hunting for deals and sticking to budgets may be at the top of shoppers' minds this holiday season, but fundamentally, holiday shopping inspires emotional and sentimental responses in consumers, significantly impacting their shopping behaviors. The thrill of finding a great deal during BFCM can create a sense of excitement and satisfaction, prompting quicker decision-making and higher spending. Conversely, negative emotions such as stress, anxiety, or feeling overwhelmed can deter shoppers, especially if they feel bombarded by excessive marketing messages or face too many choices.
So, how do you take advantage of impulse purchases and drive decision-making? Create urgency by adding an expiration date to your offer and providing accurate information on your PDP and FAQs. Remember, false information can also lead to customer complaints and damage your brand reputation — and you don’t want to risk your brand's integrity during a period when it’s already challenging to retain buyers.
Our survey shows that 48% of respondents say excitement is their primary emotion around BFCM. Positive emotions are more commonly associated with the BFCM shopping experience, with excitement, happiness, and satisfaction being the most reported.
While reports of feeling stressed or overwhelmed were relatively uncommon, Gen Z respondents are significantly more likely to experience these emotions. Among all age cohorts, only 17% of respondents feel overwhelmed during BFCM. This indicates that while the high-energy shopping days can be intense, most consumers navigate them without significant stress.
Black Friday messaging is generally well-received, with about three-quarters of respondents finding it at least somewhat appealing. However, only about a quarter rate it as "extremely" appealing. Gen Z and Millennials find Black Friday messaging more appealing than other generations, highlighting these groups' enthusiasm for deals.
On top of that, more than 9 in 10 consumers report that BFCM ads make them feel at least somewhat happy, excited, and anticipatory. Additionally, consumers are less likely to feel annoyed, with 65% saying they aren't annoyed "at all," compared to 51% last year.
Despite the overall positive reception, marketers must carefully strategize their BFCM messaging. Yet, younger respondents, particularly Gen Z, are more likely to feel annoyed by the advertisements more often. Gen Z is the same generation that finds BFCM advertisements most appealing, but also the cohort most likely to lose their patience when overly inundated with brand messaging. It’s clear; the stakes are high for younger folks and knowing how to engage effectively while not overwhelming your audience is critical.
Around 63% of respondents are more likely to pay attention to marketing messages during Black Friday, a trend consistent across generations. Surprisingly, only about 12% of respondents are more likely to unsubscribe from marketing messages during BFCM. This low percentage is consistent across all generation groups, with Gen X being the highest at 13%.
When consumers unsubscribe, it is usually because they receive too many messages from a brand, a sentiment shared by 66% of Gen Z, 65% of Millennials, and 62% of Boomers. However, only 56% of Gen X cite this as their primary reason. For Gen X, messages irrelevant to their interests are another significant reason for unsubscribing. Meanwhile, 58% of Boomers report a lack of interest in the brand and products as a main reason for unsubscribing.
Discounts are shoppers’ favorite promotional offers, followed by buy-one-get-one (BOGO) deals. Other types of promotional offers hold little value for shoppers. About two-thirds of respondents state they would need a discount in the 20%-35% range to consider making a purchase, with older generations (Boomers and Gen X) more likely to be swayed by a discount on the lower end of this range.
According to Klaviyo’s 2023 data, higher discounts do not necessarily equate to higher conversions. They shared with us that discounts are a fraught tactic in a retail environment that’s squeezing margins. Consumers love them, and they take advantage of them. But brands are wary of using too many or discounting too steeply, lest they lose sight of profitability. Klaviyo’s BFCM data suggests that brands don’t need to exceed the 20-29% discount bracket. It’s actually the optimal bracket, which converts the best for verticals like sporting goods, jewelry, home & garden, and hardware & home improvement.
FIG 1/11
Question
How do you feel about BFCM sales events each year?
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FIG 2/11
Question
How do you feel about BFCM ads this year?
FIG 3/11
Question
How appealing do you find the messages and advertisements about BFCM sales?
FIG 4/11
Question
How appealing do you find the messages and advertisements about BFCM sales?
FIG 5/11
Question
How likely are you to pay attention to marketing messages around BFCM?
FIG 6/11
Question
Are you more or less likely to unsubscribe around BFCM than during the rest of the year?
FIG 7/11
Question
Are you more or less likely to unsubscribe around BFCM than during the rest of the year?
FIG 8/11
Question
What reasons would cause you to unsubscribe from a brand's BFCM messages?
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FIG 9/11
Question
What reasons would cause you to unsubscribe from a brand's BFCM messages?
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FIG 10/11
Question
What type of promotional offer do you MOST prefer to get from your favorite brands?
FIG 11/11
Question
What is the MINIMUM discount amount that will get you to, at least, consider purchasing?
Key Takeaways
Focus on providing intentional value and personalization
According to Yotpo, nearly 40% of customers are unhappy with impersonal text messages. So, in addition to being careful about how often you send messages, be intentional about what you share with customers to ensure the campaign is valuable.
Crafting targeted messages based on directly collected customer data allows you to identify the products they will most likely purchase based on their past behavior. By sending tailored product recommendations that align with their preferences, you can encourage customers to explore new product drops, making them feel involved and valued.
Ask customers directly what motivates them to purchase
Send email surveys or post-purchase questionnaires to understand customer motivations. Avoid generic questions and instead ask questions that can drive meaningful change. For example, the purpose of your survey might be attribution, product development, audience building, or brand expansion.
Differentiate your audience between new and returning customers, and ask questions like, "What almost stopped you from buying?" "What information is important to you?" and "What are you trying to achieve with this product?" These questions can uncover areas for improvement, such as the need for more photos or clearer size charts.
Find out what makes your customers tick
10-15% isn't cutting it anymore for BFCM. Buyers said discounts and BOGOs are the most enticing offers (check out FIG 11/11 above to see discount recommendations by generation). Try combining both discount and BOGO offers for maximum impact. To spice it up and show your loyal customers some love, you can offer a general discount to all buyers and make the BOGO and early-access deal exclusive to only VIP customers.
Rotate offers and incentives
Do back-in-stock messages perform well because buyers feel FOMO? Which incentives work best? Is free shipping enticing enough? These are the questions you should be asking yourself now. When you’re ready to start your campaigns, rotate offers to keep them fresh for buyers — especially since BFCM weekend has turned into Cyber Month.
Push FOMO — even beyond the purchase
The point of purchase isn’t the final chapter in your relationship with a buyer — it’s the start. Satisfaction is a top feeling from shoppers during BFCM, so it’s important to lean into that feeling by reminding customers about the benefits of their purchase and your brand. Here's how to keep that momentum going after the purchase:
- Feature Favorites: Include customer favorites and top-sellers in your welcome messages to make new customers feel part of the in-crowd.
- Showcase Reviews: Display reviews and testimonials in the transactional and post-purchase flow to maintain excitement and affirm their buying decision.
- Educate and Engage: Provide educational content on how to use and take care of the products to ensure customers are happy with the quality.
- Customer-Centric Communication: Focus on non-transactional messaging that offers value, rather than directly selling. Send personalized “thank you's”, friendly on-brand reminders, company updates like upcoming events, and your latest content.
- Share UGC Content: Another way to get shoppers excited and inspired to make the most of your product is by demonstrating how other folks use it.
- Encourage Community: Drive awareness of the benefits of joining your email newsletter, mobile app, or SMS list. You can also follow up with purchase satisfaction emails and subtly introduce product reviews and new arrivals.
Go review mining
This means analyzing customer reviews to identify common pain points and opportunities for improvement. For example, recurring themes in customer reviews, such as complaints about a confusing size guide, could indicate that you need to update your size chart and make it easier to find on product detail pages.
Tap into emotions to scale your ad strategy
People make purchases based on emotion — and a life event typically triggers these. Sarah Levinger, an ads consultant for consumer brands, explains how she calls these “Trigger Events.” Essentially, every journey with a customer starts with a reason, which could be life transitions (like getting married), seasonal changes (like BFCM), or pain points (like skincare issues). She then breaks down ad types that work well for these Trigger Events:
- Life Event Ads: "Calling all new parents..." ads, "Moving again?" ads
- Seasonal Ads: "Holiday Shopping" ads, "Back to School Hacks" ads
- Pain Point Ads: "Problem/Solution" ads, "Frustration" ads
- Reminder Ads: "Didn't You Miss Me?" retargeting ads
- Thought Leadership Content: "How-To" guides, "Expert Opinion" content
Get creative if steep discounts aren’t the move for your brand
Despite 20-25% being the ideal discount for BFCM, this might be a bit steep for some brands to use across their entire website. If a blanket discount isn’t feasible, apply it to specific products or collections or offer a limited quantity at the discounted rate to create urgency.
Take travel brand BÉIS’s annual Black Friday sale strategy as an example. They ran a daily flash sale at 9 am, where a limited quantity of their best-selling products were available at a 50% discount. Shoppers waited in line for a chance to score one of their rollers or weekender bags, then had 5 minutes to check out once it was their turn. Be prepared — while wildly successful, this tactic can create so much traffic that it can strain your servers or crash your site, so consider a tool to control traffic in a waiting room.
How to stop BFCM churn in its tracks
How can brands effectively acquire new customers during BFCM without compromising retention? Take note from a popular soda brand as an example:
OLIPOP offered a 25% discount site-wide, but they went a step further by offering their subscribers a 30% discount on all orders for the rest of November. Additionally, OLIPOP allowed subscribers to purchase limited edition items, one-time add-ons, and bulk orders of their favorite beverages. This flexibility helped the brand combat subscription fatigue and boost loyalty (Stay Ai CEO & Co-Founder Gina Perrelli shares more on this BFCM subscription strategy here).
New Shoppers vs. Regulars
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CH 2: Frequency of Black Friday Shopping
CH 2: Frequency of Black Friday Shopping
Early Black Friday sales are almost as popular as Black Friday itself
BFCM has long been the cornerstone of the shopping calendar. Almost everyone is at least somewhat likely to shop on Black Friday or Cyber Monday, with about seven in ten consumers highly likely to participate. This trend holds steady across all generations, highlighting the universal appeal of these major shopping events.
However, the shopping landscape is evolving, with Early Black Friday sales rising in popularity and nearly matching the buzz of the main event. This shift is indicative of broader trends in consumer behavior, particularly toward convenience, budget-consciousness, and the appeal of extended sales periods. Ties to an established holiday or shopping season are optional for a highly anticipated, large-scale savings event. Although it does not coincide with the holiday season, Amazon Prime Day has recently become a key shopping event.
Among our respondents, almost 6 in 10 start their holiday shopping in October or November, though a sizable minority will shop for the holidays at any point during the year. We’ve noted a significant drop in shopping frequency during holidays in favor of shopping events like Amazon Prime Day. Why are consumers eager to get their holiday shopping list checked off early? Shoppers are increasingly budget-conscious and more hesitant to check off their holiday list on a single spree. The budget-conscious consumer also considers potential purchases for longer than before.
Also, some shopping events like Small Business Saturday have yet to achieve the same level of popularity as others like BFCM. Only about 3 in 10 consumers regularly shop on Small Business Saturday, which focuses on supporting local businesses but typically doesn’t offer the same level of discounts. This gap underscores the critical role that deals and discounts play in consumer decision-making.
Budget consciousness should not be mistaken for a lack of consumer engagement. Though shoppers may be more discerning, more likely to bargain hunt, and less likely to wait until BFCM to start their shopping, these events continue to dominate the shopping landscape. Shoppers prioritize deals, which has a major sway on their shopping habits and preferences. As retailers seek to adapt to these trends, the popularity of extended sales periods and other major discount events will likely grow.
While BFCM is still the start line of the holiday gift shopping marathon for most consumers, as noted in our previous chapters, shopping strategies are diversifying. Consumers are more likely to shop year-round to maximize savings while avoiding the holiday rush, waiting for advantageous pricing outside the busy season.
The key is intentionality, which also applies to how they’re shopping BFCM. 44% of shoppers plan their Black Friday purchases more than a week in advance — up from 38% in 2023. Last-minute shopping is decidedly unpopular, with December reported as the least likely month to start. A motivating factor for advanced planning is that two-thirds of respondents purchase gifts for others during this time. The correlation is clear; Gen Z shoppers are significantly less likely to shop for others and less likely to plan in advance.
So, how do we reach the intentional shopper? Our research shows that peak season for holiday-minded shoppers falls between October and November (with both months being equally popular), with a significant ramp-up in September and waning engagement in December. Launching your deals sooner than later will leave you ready to meet your customers’ needs while standing out from the competition.
FIG 1/7
Question
How likely are you to shop on BFCM this year?
FIG 2/7
Question
How regularly do you shop on...
FIG 3/7
Question
How regularly do you shop on...
FIG 4/7
Question
At what point in the year do you typically start holiday shopping?
FIG 5/7
Question
What motivates you to shop early for the holidays?
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FIG 6/7
Question
How far in advance do you plan your BFCM shopping?
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FIG 7/7
Question
How far in advance do you plan your BFCM shopping?
Key Takeaways
Capture last-minute gift buyers and boost AOV
A 2023 consumer behavior report from KnoCommerce, shows from 4.6 million holiday shoppers shows that from November 24th to December 20th, the average revenue for purchases for significant others nearly doubled, jumping from 10.7% to 18.3%. Additionally, these buyers tend to procrastinate, often making purchases close to the holiday, with their AOV being substantially higher — around $127 compared to $99 for self-purchases.
KnoCommerce recommends using post-purchase surveys to understand which subset of buyers are purchasing gifts for others versus themselves. Merchants should treat gift buyers differently by tagging and segmenting them within their Customer Data Platforms (CDPs) and email platforms like Klaviyo. By doing so, they can tailor marketing efforts to try to turn those gifters into more regular shoppers by sharing product benefits and exclusive offers.
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Beat the BFCM rush
Brands that start sooner don’t run out of juice. Customers are getting an early start on their holiday shopping, and capturing their attention early in the game can help you stand out from the competition (and capture some of that wallet share before their budgets run dry). To make the most out of an early-bird deal, ask yourself:
- Can I start “holiday” earlier this year?
- Can I create separate offers for my existing customers and VIPs and launch those earlier than the public offer?
- Is there something I can do to make my offer more compelling?
- Can I go sitewide this year if last year’s sales were limited to certain products?
- Can I run a deeper discount?
Make it easy for shoppers to find relevant items
Nosto’s analysis of Cyber Weekend in 2023 found that shoppers took considerably longer to make purchasing decisions last year, viewing 22% more pages per visit and spending 10% longer on each page.
Ecommerce brands should make sure they’re equipped to support shoppers' more thoughtful purchasing decisions. By this, we mean putting things in place to aid shoppers’ product discovery and help them find relevant items while browsing your store, including personalized product recommendations, attractive product bundles, and curated gift guides. In fact, last year Nosto found that shoppers were more than five times as likely to click on retailers’ onsite product recommendations across BFCM, which contributed to a 4.10% hike in AOV and a 4.41% uptick in sales.
Encourage customers to use wishlists
Shoppers are eager to start their holiday shopping in October and November. Promoting wishlists a few days to two weeks before the holiday rush can help customers plan ahead. Running an app-exclusive “win your wishlist” campaign is a cost-effective way to engage shoppers to plan and drive app downloads simultaneously.
Here’s a winning strategy: push an app-exclusive giveaway where users can win a certain amount of product from their wishlist by downloading the app, subscribing to push notifications, and using the wishlist feature. Then, have app users screenshot their wishlist and tag you on social to pick a winner, announced via push.
Now you’ve built a ton of acquisition through word-of-mouth from social shares and directed buyers over to a new channel where you can continue to engage with them after the holidays.
Optimize your behind-the-scenes processes
Nail down holiday cutoff dates for guaranteed delivery with your 3PL provider and communicate them clearly across all channels — including your website, emails, app, and social channels. This ensures your customers have the right expectations and aren’t disappointed by late deliveries.
If you’re considering festive packaging, custom boxes, or themed labels as part of your BFCM offers, coordinate with suppliers and consult your WMS early to ensure adequate stock levels and forecast potential stockouts. It’s a good idea to set up alerts for low stock to receive notifications when inventory reaches a predetermined threshold.
Start taking notes early
In the months before BFCM, focus on gathering data about your customers' psychological and emotional triggers. What drives their purchasing decisions? How could you be reacting to patterns in your customers’ actions and behaviors?
For example, if your customers frequently purchase certain products together, turn that into a product bundle. You can get these insights from your Shopify online store cart analysis report, which shows products customers have added to the same cart in the last 30 days. If you’re seeing items being purchased together 5-10% of the time or more, a discounted bundle could be a well-received play.
Maintain momentum through the extended BFCM season
KnoCommerce’s data revealed that only 23.4% of shoppers reported discovering a brand and making a purchase on the same day. 15.3% reported buying in the first week, and 61.3% reported taking longer than a week to make their first purchase. KnoCommerce recommends starting to educate customers now, especially for high AOV brands, because we know shoppers need more time to consider a purchase.
Also, if you plan to launch your deals early this season, consider how to keep customers’ interest and engagement for the main event and throughout the rest of the holiday season. Switch up your offers as the sales period progresses to keep things interesting and attract different types of buyers. Later in the season, you can re-engage your early-bird shoppers with incentives based on their previous purchase history, like discounts on future purchases or tailored bundle deals inspired by their initial purchase.
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Turn gifters into customers
With two-thirds of consumers reporting using BFCM to purchase gifts for others, it’s even more important to plan how you will retain these shoppers, especially when they aren’t experiencing your products for themselves.
In other words, how will you bring them back for another purchase when their first purchase was for someone else?
- Nurture customers early: Use October and November to get shoppers to sign up for email, push, and SMS lists, effectively converting them into repeat customers.
- Understand different customer types: BFCM shoppers differ from regular customers. Tailor your retention strategy accordingly.
- Cohort analysis: Use cohort analysis to understand the customer journey and develop the right strategy. Offer different products based on their initial purchase behavior.
- Post-purchase engagement: Stay connected with customers after BFCM by sending thank-you emails, requesting reviews, using push notifications, and providing personalized recommendations. This period is an excellent opportunity to convert one-time buyers into loyal customers.
CH 3: Holiday Shopping behavior By Platform
CH 3: Holiday Shopping behavior By Platform
Mobile shopping takes the lead
In today’s crowded marketplace, you must meet your consumer’s expectations of a digital, exclusive experience. Your app has the potential to jumpstart a strategy of catering an exclusive customer experience to young, “extremely online” consumers. This is especially key if your brand is more “upmarket.”
In 2024, two out of every three holiday shoppers will opt for the convenience of online shopping over a trip to their local shopping center — especially during BFCM season. Digital storefronts continue to dominate during a shopping season traditionally associated with crowds, commutes, and general chaos. This is a testament to how much ecommerce brands have raised the bar with CX. Online shopping provides a convenient, personalized, and streamlined experience that brick-and-mortar stores can’t (we’ll dive into this more later).
Interestingly, Gen Z shoppers are more likely to do their holiday shopping in-store this year than older generations, perhaps seeking novelty, while the older age groups increasingly gravitate toward online shopping. LA Times also notes that Gen Z wants a sense of community, so they’re browsing online and then meeting up in person to shop.
We weren’t just interested in where consumers are shopping but also how they’re shopping. Mobile shopping apps are overwhelmingly the top choice for holiday shoppers in 2024. 81% of consumers plan to use mobile shopping apps during BFCM, compared to 68% just last year. Meanwhile, shopping via desktop browsers is declining, with only 51% of respondents planning to use them — down 7% from 2023.
Why do consumers prefer mobile apps? It’s simple. This shopping platform’s CX is built for convenience and is personalized to make the user feel like a VIP. Customers can create profiles and wishlists, monitor rewards and exclusive offers, and get personalized recommendations. Easy-to-use UI makes browsing intuitive, and local user data storage allows apps to load quickly. Because this content is centralized and immediately accessible on their mobile device, consumers are actively encouraged to shop more frequently without remembering to seek out a website (not to mention there are fewer distractions on the app).
These features are even more impactful when paired with push notifications, which allow brands to send instant and direct messages to their consumers (perfect for time-sensitive drops and sales). This marketing channel is more immediate and less intrusive than an SMS and has higher visibility than an email. 40% of shoppers have made a purchase directly from a push notification for a mobile app, and aside from Baby Boomers, push outperforms SMS in all generations by a significant margin. With this in mind, send push notifications at optimal times to avoid overwhelming users while tailoring these messages to match user preferences and shopping behaviors.
While this type of purchase is significantly less popular among Baby Boomers (keeping with the lower adoption rates among this demographic toward mobile apps in general), there is good reason to believe it’s only a matter of time. Similarly, 39% of shoppers have purchased directly from an SMS sent by a brand. When it comes to SMS, however, we don’t see the same discrepancies between generations as we do with push notifications, largely because SMS is a far more established communication channel. We anticipate that over time, and with more of their favorite ecommerce brands tapping into the power of mobile apps, we’ll see more consumers incentivized to smash that subscribe button for push notifications.
With BFCM shoppers turning to their favorite brands more than ever and a third of shoppers preferring shopping through apps over browsers, it’s safe to say that on-the-go convenience is key for this year’s busy holiday shoppers.
FIG 1/6
Question
How do you plan to do your online holiday shopping this year?
FIG 2/6
Question
When shopping on your phone, do you prefer using a brand's mobile app or their website?
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FIG 3/6
Question
How do you plan to do your online holiday shopping this year?
FIG 4/6
Question
Have you ever made a purchase directly from a push notification?
FIG 5/6
Question
Have you ever made a purchase directly from a push notification?
FIG 6/6
Question
Have you ever made a purchase directly from an SMS?
Key Takeaways
Bring your IRL Customer into your Digital Experience
Online shopping is a go-to option for most shoppers. Still, in-store shopping isn’t going anywhere — foot traffic at brick-and-mortar stores is actually expected to increase this BFCM, especially with Gen Z. One way to bridge these experiences is to enable customers to complete purchases online and pick up for free in-store. Buyers like this option because it usually means they can get items sooner than waiting for shipping.
Pro-tip: Use an in-store QR code to bridge the gap between a fluid digital and in-store hybrid experience. Jewelry brand Gorjana does this by strategically placing signage with QR codes by the checkout. Capture Kit makes these codes easy to create and embed with your mobile app. Take it a step further and use location-based segmentation using the address data of past purchases to alert shoppers about store events, exclusive offers, and personalized recommendations when they are nearby.
Offer VIP perks to build a community around your brand
Innovative brands invest in an app experience to exceed consumers’ digital expectations and build community with app exclusives. After all, customers who download your app are, as mentioned, practically declaring themselves VIPs. They are ready to be immersed, join your community, spread the word, and spend more money.
Here are several popular (for good reason) ways you can enhance your app experience with exclusives:
- Early access to products: Do your products often sell out? Offer access to your top-selling items hours or even days before your website launch. Even a few hours can make a major difference.
- App-exclusive products and collections: Release exclusive products, colors, patterns, flavors, or even entire collections. Pro-tip: we've seen brands test new products by dropping them in the app.
- Flash sales, promotions, and discounts: Trading a discount code for a download is so popular because it works — especially for Cyber Month. One of our fave low-lift automated discounts is a one-time in-app welcome discount.
- Exclusive brand updates: With push notifications, you can reach customers instantly and directly to deliver the first news about any kind of brand update.
- Content Hub: An app can serve as a unique content hub for your brand and the possibilities are endless including videos, lookbooks, how-to guides, recipes, editorial content, playlists, phone wallpapers, and more.
- Giveaways: Host app-exclusive sweepstakes and giveaways for bigger prizes. Think of in-demand items, a year’s supply of your product, or even luxury goods (like Culture King’s Lambo giveaway).
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Sharpen your messaging with customer insights
BFCM is an excellent opportunity to gather customer behavior data to refine your messaging strategy. Purchase history, quiz data, and AOV can tell you a lot about what products to recommend and how often to recommend them to a specific customer segment.
You can also check out your target customers’ micro-moments. These are instances when people instinctively grab their phones to learn, do, discover, watch, or buy something. Micro-moments are filled with focused intent, where customers are ready to take action. Ensure your mobile experience is primed to support them along their journey.
Keep sales moving during high-traffic times and website crashes
When it comes to traffic spikes, we love to see it… but heavy traffic can lead to poor load time, and we all know every second counts. The load time benchmark for an ecommerce website is two seconds, any higher and you risk losing a sale rises to 87%. But remember, it’s not only web traffic that causes crashes. Website malfunctions can be caused by all sorts of problems, including server errors, code errors, and plugin errors.
An app can deliver against the high pressure and high volume traffic that’s inevitable during BFCM. Shopify brands like Obvi kept sales moving when their website unexpectedly crashed. “We were kind of panicking,” Ron Shah, CEO of Obvi, said. “And as a solution, we diverted everyone to the mobile app because it was our only sales channel that was still up and running. This shows the sustainability of having two platforms during BFCM.”
Don’t leave your mobile-hesitant customers behind
We know that Baby Boomers aren’t super stoked about mobile shopping and push notifications, but they might need that extra push. Help your older audience demographic understand how mobile commerce can enrich and simplify their shopping experience.
For example, to get Baby Boomers interested in your mobile app, offer app-exclusive discounts. These are a great way to entice this demographic, as 96% reported using coupons when shopping. You can promote your app on more familiar channels like Facebook groups, email, and SMS to educate Boomers on the advantages and VIP perks.
Elevate your mobile commerce experience
The words you use can be the difference between a customer making a purchase or scrolling by. While creativity is essential, clarity should never be compromised. Use concise, engaging language to highlight your unique selling points, such as significant savings, exclusive products, or limited-time offers. Also, enabling mobile-optimized customer reviews on your PDPs makes decision-making easier and, more importantly, inspires trust in your customers.
For each of these tips, we recommend running A/B tests ahead of time to see what experience your customers prefer. Here are just a few things to consider:
- What type of navigation bar reduces friction for mobile customers?
- What button style leads to the highest conversion rate?
- What elements seem to frustrate mobile users?
CH 4: Expected Budgets For BFCM
CH 4: Expected Budgets For BFCM
Consumers are willing to spend more — prepare appropriately
This year’s BFCM shoppers are most likely on a budget (only 14% have no budget), but that’s not to say they aren’t also inclined to indulge. 84% of shoppers’ budgets for BFCM are likely to increase or stay the same compared to last year, pointing to consumers having more positive perceptions of their spending power. For 20% of shoppers whose budgets are decreasing, higher prices due to inflation are the most cited culprit.
When you compare income levels and education for consumers, there are interesting differences among each category. For example, 85% of college graduates plan to spend the same or more on this BFCM. On the other hand, buyers who only have ‘some college level’ are most likely to spend less at 16%, which could indicate students who are still in the midst of getting their diplomas and dealing with student debt.
Income also impacts spending power. In our survey, we discovered that 80% of all income groups besides $25K+ plan to spend the same or more on BFCM. Specifically, folks who make $75K to $99K are the highest percentage of people who plan to spend more than they did last year, at 44%. In a slightly higher tier, folks making $125K to $149K are most likely to spend ‘much higher.’
For luxury brands with expensive AOV products, the higher-income consumers definitely have their heads in the game for BFCM. 69% of buyers making more than $250K+ plan to spend the same or slightly higher. With that, it’s important to be very intentional with your marketing strategy considering that 24% of shoppers making $250K plan to spend ‘slightly lower’ this year. These are still high-ticket items, so be sure to educate buyers about the value of your products and brand before BFCM.
Attitudes toward budgeting and spending vary between age groups, though 71% of shoppers anticipate spending between $100 to $500 during BFCM. Baby Boomers are most likely always to set a budget, and though these budgets are generally higher this year, they are more modest than those of Gen X and Millennial shoppers. One in five Gen X shoppers settled on a $201-$300 budget, while Millennial shoppers had the greatest variance in budget ranges. Here’s a specific breakdown by income:
- 36% of individuals earning $150K+ spent $800 or more last BFCM.
- 40% of those making $50K to $75K spent $300 to $500.
- 47% of individuals earning $100K to $150K spent $300 to $600.
- 50% of people making less than $50K spent $100 to $300.
This tells us that lower-income buyers are still willing to spend on BFCM, just at levels that correlate to their income. It’s important to stay responsive to the spending expectations of your target audience. Gen Z shoppers are just as likely to spend between $100 to $200 as they are to spend $301 to $400, but only a third plan to stick to their budget. If you want to effectively reach this audience, creating product bundles within these ranges would be ideal for the demographic most likely to experience stress around holiday shopping (see Chapter 3).
FIG 1/4
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Do you typically have a budget when you shop BFCM sales?
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FIG 2/4
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What was your BFCM budget last year?
FIG 3/4
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Do you expect your BFCM budget this year to be higher, lower, or the same as last year?
FIG 4/4
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What is the main reason your BFCM budget is going to be lower this year?
Key Takeaways
Diversify budget & target high-intent customers to maximize ROI
This BFCM, there’s a solid opportunity to see high returns on your marketing investments. Consider allocating a bit more of your budget to capture the increased consumer spending.
But don’t put all your eggs in one basket. We’ll share more about impactful ad types for BFCM in Chapter 6. For now, know that it’s important to allocate budget across various channels, invest in targeting high-intent audiences (think social followers, mobile app users, email and SMS subscribers), continuously monitor the performance of your campaigns, and be prepared to adjust your budget allocation in real-time.
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Boost MER with cost-effective retention channels
Acquisition during BFCM can be challenging, demanding significant focus, effort, and budget. However, neglecting retention is not an option. Establishing cost-effective retention channels allows you to concentrate on acquisition with confidence that your customers will remain engaged long-term.
Hans Harris, Director of Growth at BrüMate, relies on their app's steady monthly revenue, providing a “safety blanket” to scale Meta campaigns and enhance their marketing efforts. As Harris puts it, "Having the app lets me be more aggressive on acquisition because it’s a reliable and efficient sales channel that increases our MER.”
This approach generates resilient revenue with a direct line to consumers through their most important device. It enables intimate, personalized connections with buyers and maintains engagement through push notifications, even post-purchase.
Make sure your fulfillment locations are prepared
If shoppers are ready to spend more, it's crucial to ensure your stock and fulfillment locations are ready to handle the increased demand. FIRST, prepare stock by making sure you have adequate stock to meet the anticipated demand. SECOND, clearly define how your fulfillment team should process BFCM sale items like BOGOs and bundles by providing detailed instructions for identifying bundled orders, including specific product names and quantities.
Create tailored product bundles for different generations of buyers
Yes, some Gen Zers are ready to spend more. But not every generation is walking into BFCM without a budget, and you can’t throw out highly expensive campaigns to price-conscious consumers. We suggest using bundles to create BFCM deals that are within the price range targeting a generational cohort. These feel like lower-cost but high-reward for buyers.
When you advertise bundles ahead of Cyber Week, you need to understand that you’re competing against so many other ads in everyone’s news feed — ads that are likely to say anywhere between 30% and 50% off and maybe some BOGO deals as well. Make sure that your bundle is actually a great offer for the customer and that the perceived value is as high as possible by
- Creating urgency by highlighting the time-limited nature of your bundle offers.
- Showing the total value of the products included in the bundle versus the bundled price, emphasizing the savings.
- Using testimonials from satisfied customers who saved significantly by purchasing bundles to enhance the perceived value on product detail pages (PDPs).
CH 5: Full-Funnel Customer Behavior
CH 5: Full-Funnel Customer Behavior
Don’t forget about your current buyers
Creating an enticing BFCM experience can be a balancing act between capturing new customers and rewarding your regulars. More than half of shoppers are planning to shop both new and known brands.
When brands heavily cater to first-time shoppers, the response from returning customers is mixed. Our respondents reported attitudes distributed evenly between positive (not bothered), neutral, and negative (annoyed), with older shoppers much more likely to see this as a snub.
Even if shoppers are generally more likely to plan out their holiday shopping this year, we all make impulse buys sometimes (at least 90% of us, according to our survey). However, only a quarter of us are habitual spontaneous spenders.
BFCM is the perfect opportunity to offer an irresistible quick-buy that will be a no-brainer for your loyal fans and catch the attention of the open-minded first-time browser. After all, 80% of our survey respondents either like or love to shop, with Gen Zers being especially enthusiastic shoppers. But if there’s one thing that kills the buzz of a potential impulse purchase, it’s the sobering reality of shipping fees.
High shipping costs are the most common reason for cart abandonment; this year, consumers are more forgiving of slow checkout processes and high cart totals, though Millennials and Gen Z are more likely than other age groups to jump ship over sticker shock.
For over a third of cart abandoners, it’s not a farewell as much as a ‘see you later.’ Shoppers tend to use their carts as wish lists, marking items they intend to purchase later — all the more reason to encourage buyers to use wishlists where they can curate and save links to their favorite products.
We suggest you encourage shoppers to use wishlists before BFCM. This means you can recommend products similar to the items they’re saying they’re interested in and let them know before other shoppers when those wishlist items go on sale or come back in stock via email, SMS, or push notifications. This personalization makes the shopping experience more convenient and tailored to individual preferences.
FIG 1/6
Question
Do you shop for brands you know or try new brands?
FIG 2/6
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When you shop as a returning customer, are you annoyed when the shopping experience is geared toward new customers?
FIG 3/6
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When you shop as a returning customer, are you annoyed when the shopping experience is geared toward new customers?
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FIG 4/6
Question
Which of the following has made you abandon your cart?
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FIG 5/6
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How much of a shopper are you?
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FIG 6/6
Question
How much of a shopper are you?
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Key Takeaways
Maximize impulse buying potential
We know that 9 out of 10 customers are likely to make an impulse purchase. To capitalize on this, ensuring a seamless customer experience is essential to converting. These customers may be asking, “Do I really need this?” and can easily talk themselves out of it, so you need to anticipate your customers' needs and eliminate any moments of friction.
To bridge the browsing to the buying stage faster:
- Enable one-click checkout and multiple payment options like Apple Pay, ShopPay, Klarna, PayPal, Amazon Pay, and Afterpay.
- Leverage social proof to boost trust and encourage quick decisions.
- Create urgency with countdown timers or limited-time discounts.
- Create product bundles that offer greater value for money, tailored to different customer segments.
- Clearly display return policies, shipping information, and customer service details.
Optimize your landing pages and checkout for conversion
Your goal for BFCM should be to encourage customers to complete their purchases without making the sales process feel overly transactional. This will help you capitalize on the BFCM opportunity while investing in long-term customer relationships.
On landing pages, Rebuy suggests using:
- Free shipping progress bar
- Tiered rewards and gift with purchase offers
- Switch-to-subscription upsells
- “Buy more save more” discount incentives
- Star ratings and reviews
And if you get customers all the way to the checkout page, you don’t want to lose them there. So to drive that conversion home, focus on highlighting messaging around:
- Free shipping: Offer free shipping to reduce friction.
- Multiple payment options: Provide a variety of payment methods.
- Upsell offers: Suggest additional products.
- Free samples: Add a free sample to the order to increase perceived value.
- Social proof: Include star ratings and reviews.
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Create custom BFCM site experiences
According to DTC Expert Nik Sharma, creating custom BFCM site experiences with specialized landing pages has proven highly effective. Instead of typical landing pages focused on a single hero product, these function like micro-sites, offering:
- Individual slide-out carts
- Unique offers
- Clear value propositions and benefits
- Tailored messaging and merchandising
In his 2023 BFCM newsletter, Nik shared that these custom landing pages achieved 8-11% conversion rates and about 35% conversion rates when considering attributable view-through conversions. During the holidays, it's crucial to use these optimized landing pages to maximize the return on your ad spend.
Fill your funnel in August and September this year
To hit your goals this holiday season and not overspend your marketing budget, invest in customer acquisition well in advance. Traditionally, the best time to do this is during September and October. Why? The first 30-90 days post-purchase are a prime period for encouraging repeat purchases, so acquiring new customers at that time increases your pool of potential repeat shoppers just in time for the holidays.
This year, there’s a big election happening in November. You should expect higher CPMs and potential instability on platforms like Meta (Facebook and Instagram) starting in August and September. On top of that, consumers plan to start shopping in October and November.
To avoid these challenges, shift some of your customer acquisition activities to the present. Beginning your efforts now ensures you can build a robust funnel and move buyers into owned channels (like your mobile app) without being affected by market fluctuations. This means you can reach them for free and stack your MER with a returning cohort of buyers early on in the BFCM sale, leaving more room for acquisition as the sale goes on.
Grow faster with email and SMS
Klaviyo flows drive the most revenue per recipient (RPR) because they send automatically based on someone’s behavior. One secret to flows is more flows, not necessarily complex flows.
Maximize flow revenue by adding more automations across the customer journey. Start with welcome flows for email and SMS, browse and cart abandonment, post-purchase, win-back, sunset, and VIP flows. The fastest-growing enterprise accounts on Klaviyo have 10 or more flows live. To get to 10, create flows that support brand investment in integrations — like your loyalty program, price drop alerts, and more.
Build a full-funnel ad strategy
In her article, “How to know which ad to run,” Sarah Levinger discusses the science behind a full-funnel ad strategy.
At the Top of the Funnel, the focus is on creating awareness through educational content and social proof, demonstrating how your product solves common problems. Use product tutorials, customer testimonials, and comparison ads to highlight your brand's value.
In the Mid-Funnel stage, the goal is to nurture interested leads with action-driven campaigns and large-scale social proof ads, including success stories and expert reviews. Target individuals who have engaged with previous content, offering personalized messages to build trust and drive engagement.
The Bottom of the Funnel aims to convert engaged leads into paying customers. Use scarcity tactics with limited-time offers, behavior-based reminders, and seamless purchasing experiences to encourage quick purchases. Promote complementary add-ons and loyalty programs to increase average order value and foster long-term engagement.
Save retargeting for push notifications
Customer acquisition gets expensive during BFCM, and you might have little budget left for retargeting. But as we’ve learned from our data, some respondents reported feeling annoyed when brands focus entirely on new customers. This tells us retargeting is still important, but there may be more cost-effective approaches than relying on paid ads for both acquisition and retention.
For one, push notifications drive instant spikes in traffic and conversions, but also can help offset high customer acquisition costs (CAC). If you’re willing to get creative like Volcom, your marketing efforts to drive app downloads can lead to a long-term cohort of customers eager to get their hands on your next product. It's an engagement tool and a retention tool, and it makes really good use of Volcom’s marketing dollars.
After the 2023 holiday rush, Courtney Meehan, the Digital Marketing Director at Volcom, shared that their “daily average user traffic increased at a steady rate post-BFCM with their increased brand exposure from promoting their app during the BFCM season, ultimately leading to a long-term return rather than a temporary spike.” Volcom's BFCM strategy worked; total in-app sales increased by 1,290%, and nearly 18% of their total sales now come through the app.
Think about above-the-funnel tactics to drive acquisition
Everyone knows the conversion funnel (top, middle, lower) but not a lot of consideration is given to above-the-funnel. Essentially, you have the conversion funnel, which is on your actual site, and above the funnel leverages all of the additional marketplaces where your customers are shopping, such as Amazon and Etsy.
At Roswell NYC they understand that the above-the-funnel strategy is a way to get free advertising. Dropshipping to these places allows brands to get more exposure to a wider variety of customers who may have yet to experience your brand. It’s an additional channel buyers can discover you on, and it also legitimatizes your brand by showing how well-integrated you are across all sales channels.
Setting up these touchpoints before the holiday season is a pro-tip to expand your TAM and maximize BFCM revenue (bonus points if you drive those customers into retention channels like an app or loyalty program).
Roswell NYC
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CH 6 : Most Impactful Ad Types
CH 6: Most Impactful Ad Types
Generational differences should inform your channel strategy
It’s the start of the 2024 holiday shopping season; do you know where your customers are? Understanding how your target audience is interacting with BFCM messaging, and knowing where to find them is crucial to your BFCM ad strategy. The effectiveness of different advertising channels can vary significantly across generations, and these nuances are ever-changing.
Here’s what we know about shoppers in 2024:
Gen Z: This generation is highly influenced by TV ads, social media ads, and influencer content. Interestingly, 52% of Gen Z respondents are particularly motivated by push notifications. The rising presence of social media app shopping is also noteworthy, with Gen Z increasingly learning about sales through TikTok.
Millennials: TV ads, social media influencers and ads, and promotional email content are the most influential for millennials. This group values digital interactions and a mobile-first experience.
Gen X and Baby Boomers: These older generations find email, TV ads, and print ads the most persuasive. While Baby Boomers are significantly less likely to make purchases based on social media ads or influencer content, they strongly prefer email marketing. TV ads also remain a consistent source of sales information.
In most cases, the trend is clear: people gravitate toward the mediums where they feel the most fluent. With age, the influence of social media and mobile apps decreases, while television and email marketing increases. TV and SMS ads could be considered outliers. These have near-universal appeal, which only grows among older age groups. One in two shoppers purchased directly from a promotional email last year.
As a whole, our respondents were equally likely to have purchased from a push notification for a mobile app as they would an SMS text from a brand. However, push notifications dominated with younger generations, while SMS shoppers did not follow a demographic trend. SMS is less popular this year and was surprisingly the least cited when respondents were asked to self-report their preferred marketing channels.
Email, TV ads, and online ads are the big three when hearing about BFCM sales. But the tide is turning: email and online ads have dipped since 2023, while TikTok’s influence is rising. 16.7% of respondents told us they learn about sales through TikTok, nearly 6% up from last year. Traditional digital channels might get a tad crowded, so jumping on newer platforms like TikTok can give you an edge with younger audiences.
Picking the right channels for your target audience can make all the difference during a highly competitive ad season. Younger generations? Focus on TikTok and Instagram, push notifications, and influencer content. Older audiences? Go heavy on email, TV, and print ads. Aligning your channels with generational preferences makes your campaigns more personal and impactful.
FIG 1/6
Question
How motivating do you find the messages and advertisements about BFCM sales?
FIG 2/6
Question
How motivating do you find the messages and advertisements about BFCM sales?
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FIG 3/6
Question
Where do you typically hear about sales from brands?
FIG 4/6
Question
Where do you typically hear about sales from brands?
FIG 5/6
Question
Which types of promotional messages are most effective in motivating you to purchase?
FIG 6/6
Question
Which types of promotional messages give you the best experience as a shopper?
Key Takeaways
Ads are not the end-all, be-all for BFCM
We all know customers have many touchpoints with a brand before they finally reach the post-checkout page. In other words, attribution is far more nuanced than we realize.
Every interaction with a potential customer is a stepping stone toward their purchase, so you can’t rely solely on Meta or Google ads to support that journey. If you don’t have organic buy-in, why would buyers pay attention to your paid efforts? Social media, blog articles, testimonials, landing pages, emails — it all matters for building credibility from buyers who discover you from ad content.
Omnichannel ad strategies are a must
Every generation is influenced in different ways. Younger audiences gear toward social media and influencers, while older generations find more traditional ad channels more compelling. Depending on your target audience, create campaigns geared toward the channels they’re likely to engage with you on.
For example, it’s clear that Boomers prefer email, so if you’re selling a skincare product targeting wrinkles for older women, TikTok isn’t the best platform for you to sell on. However, if you sell skincare products for all age groups, you should segment your marketing messages by age and ad channel. In other words, keep your anti-wrinkle products on the direct mail postcards and leave the acne-treatment products for TikTok influencers to talk about. For more personalization tips, our friends at Yotpo created a helpful playbook, ‘10 SMS Marketing Mistakes and How to Avoid Them,’ which you can read here.
Think beyond ads and grow app downloads before the holidays
With ads getting more expensive, especially during the holiday season, we suggest supplementing your paid strategy with something you know will drive long-term revenue: your mobile app. Encourage early sign-ups by promoting the app across multiple channels, including your website, mobile app banner, and social profiles, as well as BFCM-specific discounts to incentivize downloads.
For instance, LSKD generated 40% of their BFCM sales through their mobile app. They made $3.4M in-app sales in the first 24 hours of Cyber Week, drove 22,000 new app installs, and witnessed a 400% surge in sessions. The strategy that helped achieve this had nothing to do with paid social ads; they temporarily closed their app and website before BFCM and reopened them at 12 am PST to create demand and hype. As a cherry on top to LSKD’s genius app marketing strategy, this propelled its app to #1 in the Apple App Store — proving it’s a surefire way to drive engagement and brand affinity.
The first step is driving mobile app downloads and converting shoppers to a mobile app channel. LSKD ensured their app was optimized to scale retention and feed the funnel, leveraging integration with Yotpo for loyalty and rewards programs to better retain VIP customers.
Give your ads a good audit to start with a clean slate
How much of your ad budget goes into just BFCM? 30%? 40%? 70%?! Before you scale up your spending, it’s a good idea to take a step back and audit your current playbook. First, assess your business health. Over the past 12 months, what’s the trend between new versus repeat customer sales and AOV? If new customer sales are flat, this is an area to focus on, especially since acquisition will be crucial pre-BFCM. If customer sales are lower than usual, you may want to consider simplifying your campaign structure, scaling your budget for higher-performing campaigns while pausing low-performers, and excluding existing customers from your current ad targets.
Focus on the highest-converting channels
Last year, Triple Whale found that, on average, brands spent roughly 70% more on Meta and Google during the week of BFCM compared to prior weeks. Also, last year, Nik Sharma recommended spending at least 70% more on Meta and Google than normal through the entire week of BFCM — even more so if it’s profitable and you’re still converting.
Triple Whale’s advice? Leading up to BFCM, focus on running campaigns about your core products, which customers will already recognize, especially considering a lot of consumers wait until BFCM to make their purchases.
It’s also important to consider brand awareness campaigns in the months leading up to BFCM. During BFCM, focus on retargeting strategies alongside channels like email, SMS, and push notifications, to keep these new buyers engaged.
It’s okay to test additional channels, but you should still maintain a strong portion of your budget on legacy platforms like Meta and Google. Additional resources can be used to test growing channels like TikTok and Snap, but carefully watch your profitability here. While CPAs may look enticing for TikTok, keeping an eye on AOVs (-14% YOY) and LTV from the platform will be pivotal to scaling.
Triple Whale
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CH 7: The Growing Importance of Mobile Apps
CH 7: The Growing Importance of Mobile Apps
Drive resilient revenue with app exclusives and push notifications
The number of shopping apps on consumers’ phones varies, though just over three-quarter fall between one and five apps. Consumer expectations have fundamentally evolved to prioritize convenience, personalization, and intuitive experiences like never before. More than websites, mobile apps are uniquely positioned to deliver on these expectations. 30% of online shoppers prefer mobile apps, and almost half use apps and browsers, demonstrating a demand for a flexible, seamless shopping experience.
Not to mention, only 1 in 10 Gen Z consumers and 1 in 6 Millennial consumers think a mobile app is unnecessary. This means a whopping 89% of Gen Z and 84% of Millennials view mobile apps as a shopping method they would like to have as an option. When respondents download a brand’s app on their phone, only 19% do not shop using the app. In contrast, half of the respondents reported that they use the app exclusively, while almost one-third of the respondents use the brand’s app and website equally.
The main reasons for downloading shopping apps are convenience and a personalized shopping experience. Consumers appreciate the ease of use and tailored recommendations that apps offer, especially for their favorite brands. Trust and credibility also play a big role in consumers’ decisions to download a mobile app: about half of respondents feel an app lends more trust and legitimacy to a brand. This attitude is much stronger amongst Gen Z than the other generations.
Nearly 90% of shoppers have downloaded a favorite brand’s mobile shopping app; even among Baby Boomers, who reported having relatively low engagement with mobile shopping apps, 78% have downloaded a shopping app.
The main reason Boomers download a mobile app is to access VIP perks (46.5% shared this sentiment), and they feel less concerned with managing subscriptions or having a ‘unique shopping experience.’ However, Gen-Z and Millennials emphasize wanting a convenient and easy shopping experience, which is why they prefer mobile apps.
In total, all generations reported they prefer mobile apps for shopping because of the unique and personalized experience they offer and the convenience of managing their subscriptions. 52% of Gen-Z specifically are motivated by push notifications when hearing about BFCM offers, and 40% of respondents across all age groups have made a purchase directly from a push notification in the past.
Customers are more likely to elicit a purchase via a deal with a mobile app than other channels. What stands out from our research is that push notifications outperform other channels in driving purchases and converting more efficiently than SMS and social and online ads.
Shoppers indicate that relative to reach, mobile app push notifications are 127.2% more likely to elicit a purchase than paid ads, 20.7% more likely to elicit a purchase than SMS, and 124.8% more likely to elicit a purchase than email.
Understanding what mobile app features customers care about and leaning into them can drive a ton of additional revenue for you during the holiday season. Innovative brands use their mobile app as an integral part of their BFCM strategies by driving app downloads and push subscribers to maximize LTV beyond the revenue spike.
Leaning into customization to create a VIP experience on the app is key. For Naked Harvest, the team prioritized promoting the app and designating it as the channel for its loyal customers — they ultimately saw 25% higher AOV on the app compared to their website, 142% higher CVR, and a 272% higher revenue per session.
In Chapter 3, we mentioned that over 8 in 10 consumers plan to do BFCM shopping in-app this year. This rings true across all shopping categories. As we approach the BFCM season, all eyes will be on your mobile offerings. This is especially important considering last year’s post-BFCM insights, where we discovered that the largest driver of online BFCM sales came through mobile devices, accounting for $5.3 billion of all sales — which was a 10% increase from 2022. In fact, 61 million consumers who purchased through Shopify businesses spent 60,873,923 minutes, and their hard-earned cash to take advantage of the best BFCM deals through Tapcart-powered mobile apps. Tapcart apps processed $101.4 million in sales in 2023, a 55% increase from 2022.
The TLDR? Your consumers are on mobile, and they expect an elevated shopping experience that makes it convenient to stay close to your brand. In 2024, prioritizing a user-friendly, personalized app experience, leveraging features like push notifications, and engaging your social media audience to capture mobile shoppers will be critical.
FIG 1/10
Question
Have you downloaded a mobile shopping app from one of your favorite brands?
FIG 2/10
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How many shopping apps do you have downloaded on your phone?
FIG 3/10
Question
When shopping on your phone, do you prefer using a brand's mobile app or their website?
FIG 4/10
Question
How motivating do you find the messages and advertisements about BFCM sales?
FIG 5/10
Question
When shopping on your phone, do you prefer using a brand's mobile app or their website?
FIG 6/10
Question
What aspect(s) about shopping with a mobile app do you like the most?
FIG 7/10
Question
What aspect(s) about shopping with a mobile app do you like the most?
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FIG 8/10
Question
Have you ever made a purchase directly from an email?
FIG 9/10
Question
Have you ever made a purchase directly from a paid social ad?
FIG 10/10
Question
Have you ever made a purchase directly from a push notification?
Key Takeaways
BFCM is a great time to launch an app
If you haven’t yet, now is the perfect time to enhance your mobile strategy with your very own app. BFCM is approaching quickly, but launching an app no longer requires a large team of developers. The bonus? You'll have a fresh channel to engage with your top customers right in time for the holiday season. As we’ve seen, consumers are looking for deals and are excited about brands, so this is the perfect opportunity to drive app downloads and push the subscribers list — app users have higher LTV (AOV and CVR) so this has a long-lasting impact on revenue.
Sunday Swagger launched an app-exclusive campaign just 10 days before Black Friday and drove a surge in new app downloads. The ripple effect of this campaign extended beyond sales performance, and the impact can be seen in Sunday Swagger’s 82% surge in daily active users, a 107% uptick in sessions since the sale began, and a 25% increase in the app conversion rate. These new app users continue to use the app today, which they’ll continue to build on top of this year.
Revamp your push notification strategy
Remember, 40% of shoppers have made a purchase directly from a push notification for a mobile app, and 52% of Gen Z respondents are particularly motivated by push notifications, beating out print, SMS, and even influencer content.
Our recommendation for BFCM push campaigns? Make sure to send pushes leading up to the promotion as reminders when it’s happening, before it ends to drive urgency, and as a thank you. If you have extra inventory or want to drive more revenue, you can also add a last push and extend the sale to drive customers back. That’s the great thing about push marketing: it’s quite easy to deploy, so you can be reactive in real time to your customer’s behavior.
How many to send will vary by brand and campaign, but as long as you’re hitting those four customer touchpoints, feel free to get creative.
If you’ve already set up your automated push flows, be sure to personalize this for BFCM 2024.
Use push notifications for on-brand, experimental touchpoints (don’t just sell)
Last year, we saw winning tailored push campaigns, and 27 million global shoppers received customized push notifications during BFCM. Keep your brand top of mind during and leading up to BFCM by using a blend of transactional and non-transactional push notifications to keep your content rich and engaging.
This strategy will help you stand out and drive more engagement during the busiest shopping season of the year. Transactional push notifications focus on promoting your BFCM offers and creating urgency, encouraging users to seize time-sensitive deals. In contrast, non-transactional pushes amplify your brand's voice by sharing inspiring messages and highlighting your brand's ethos.
Create offers specific to your mobile app
Creating offers specific to mobile app users is particularly effective during BFCM to drive app downloads and boost mobile engagement when consumer interest is at its peak. At the same time, it shows loyalty to your most loyal customers too (the ones who had the app downloaded in the first place). You can create an app-exclusive dual pricing strategy, which involves offering a product at a discounted price on your app compared to your online store. To implement this on your Shopify store, follow these steps:
- Create an App-Exclusive Price: Use Shopify’s compare pricing feature and assign it to your Tapcart sales channel.
- Clone Products: Clone the products you want to discount.
- Update Pricing: Set the clone’s “Compare at price” to the app-exclusive discounted price.
- Assign Sales Channels: Assign the clone to the Tapcart Sales Channel and the original to your online store.
Remember to split your inventory to avoid management issues. Promote the dual pricing across your website, social media, email, and app design. Use email, push notifications, social media, and SMS to drive traffic to the app.
Customize your app’s design for BFCM
For a standout app design during BFCM, update your branding with a BFCM theme to signal the special event and get customers excited about the CX. Customize your BFCM icons, use black-out colorways, and update your launch screen, and app icon. This will let customers know your app is ready for the biggest deals of the year.
Use live chat to support — and sell
Use the Gorgias live chat to quickly answer customer questions with on-site campaigns to drive more conversions. Stemming from live chat features, customer success teams can be more proactive about helping buyers discover the best products and promote products and offers at key times in the buyer’s journey. These campaigns typically include:
- Recommending complementary products or upgrades based on the customer's current cart selection.
- Capitalizing on the excitement of new product launches to capture the attention of browsers.
- Sending targeted holiday campaigns around seasonal trends and shopper preferences to drive conversions.
Taking this approach from browser to mobile app can be super effective, especially considering the higher intent and CLTV of shoppers who have a mobile app downloaded in the first place. Brands that implement an AI Agent saw their email automation rate increase by 30% — meaning that their CX team had more time to focus on tickets that require more personalized support, leading to happier customers, reduced resolution times, and increased LTV.
Use Custom Blocks to optimize the CX
Custom Blocks is a low-code tool that allows brands to build custom app experiences with HTML, CSS, and Javascript. A few popular BFCM examples to drive upsells in your mobile app are product bundles, adding a free shipping progress bar, showcasing shipping protection, and on-brand lookbooks or how-to guides directly into the PDP or even a countdown timer to create urgency around your offers.
ASRV used Custom Blocks to create a branded countdown timer that was strategically on the PDP and PLP. When the sale was about to launch, they promoted the app-exclusives in email and push notification campaigns — one early access push saw a 30% open rate, $163k in sales, 3.7% CVR, and 691 orders.
Brown Sugar Babe used a personalized "Build a Box" Custom Block and a gift-with-purchase strategy to exceed customer’s expectations. Additionally, they used the Gorgias in-app help desk to improve customer satisfaction. This resulted in $73,000 in-app sales on the first day and $275,000 in new-app sales over the week.
You made it!
If there’s one thing we know for sure, it’s that shoppers are more prepared, engaged, and enthusiastic about the holiday season than ever before.
By staying ahead of the trends, leveraging mobile apps, and creating personalized, emotionally resonant campaigns, you can ensure a successful holiday shopping season.
