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Over the past few weeks leading Financial Institutions and Credit Card companies reported earnings. Included in these reports are useful insights about  consumer spending, digital, and macroecomonic forecasts. BLUEPRNT has put together an infographic with key metrics and insights, as a tool for you to easily review, digest, and incorporate any learnings.

Here are some key insights and recommendations for brands and retailers:

·  Consumers show resiliency as consumer spending continues to be steady

·  The market and unemployment rate continues to be strong and the inflation has slowed significantly since the same time last year, however prices have not dropped and we don’t anticipate we’ll see prices at pre-inflation levels, especially for necessities and consumables. This continues to have a psychological impact on consumers, causing them to be pessimistic about the economy, as more than 2/3 of customers surveyed by The Conference Board say that a recession is ‘somewhat’ or ‘very likely’.

·  We forecast that customers will either pull back holiday spending, substitute for cheaper alternatives, or search / wait for deeper discounts prior to purchasing

·   4/5 Banking and credit card companies reported they are not forecasting a decrease in economic growth in 2024

·  BofA predicts unemployment rate increase to 5% in 2024

·  Salesforce forecasts 4% YOY Holiday sales growth and peak discounts of 29% during Cyber Week

·  65% of all online orders are now from mobile devices

·  Travel has rebounded with the highest rates in and out of Latin America, Europe, and Asia, with inbound travel into the US and China lagging behind

Recommendations:

1) Retailers should be prepared to discount products during Cyber Week and throughout the holiday season to meet sales goals and sell-though inventory. According to McKinsey 90% of shoppers will begin their shopping prior to December, however only ¼ reported even being halfway finished, as they will be shopping for a longer window this year in search of better deals.

2) Instead of requiring customers to type discount codes in the cart, discount products and categories automatically, displaying the deals and strike-though previous prices on PLPs and PDPs and/or auto-populate codes in the cart

3) Ensure your inventory and supply chains are optimized for maximum product accuracy and availability at specific locations, providing customers with other convenient pickup methods like BOPIS, as it’s a $28B opportunity, esp the last few days prior to Christmas

4) Have optimized social media campaigns that employ personalized, targeted promos and the ability to suppress / modify ads once customers make purchases

5) Offer customers in your loyalty program early entry to deals and discounts

In the next few weeks, retailers such as Walmart, Target, Amazon, Kroger, and The Home Depot will be reporting earnings and we’ll compose another infographic. Please subscribe to our email list to receive the infographic, news, and other insights directly in your inbox.