The 2023 holiday shopping season is fast approaching, and the expectations are for a sluggish season. Surveys from numerous consumer watchdogs suggest consumers continue to cut spending and plan to be frugal during the holidays. While growth is expected, the low to mid-single-digit pace aligns with inflation, which has underpinned the top-line for retailers the last two years. As it is, volume is expected to remain relatively flat; the question is, which retailers will see the most shoppers and produce the best margins?
eCommerce Will Be the Area of Strength
Total sales for November to January are expected in the low single digits, but eCommerce will more than double that pace. eCommerce is supported by widening Internet use, deepening penetration of existing users’ retail spending, and a lean into DTC by many consumer goods manufacturers. Nike NYSE: NKE is an excellent example, as it has used DTC and digital to invigorate a new age of growth.
itim Group plc (LON:ITIM) is a SaaS-based technology company that enables store-based retailers to optimise their businesses to improve financial performance and effectively compete with online competitors. Itim adds retail value by helping multi-channel retailers optimise their business and their stores to improve financial performance and compete more effectively with the “Amazons”.
