AUSTIN, Texas, Oct. 19, 2021 /PRNewswire/ -- As if a
pandemic weren't enough, a new Oracle Retail consumer research
study shows that shoppers are worried that supply chain and
delivery delays will wreak havoc on the holidays. In response, 52%
of Americans have already started holiday shopping or plan to shop
earlier than usual. Of the respondents, 20% plan to order more
gifts in case some are delayed or canceled, with that number
jumping to 44% for Millennials*. Others are taking an easier path,
with 34% of people (especially Baby Boomers* at 58%) noting they
will buy more gift cards this year.
"As we see in the news, the supply chain challenges are a global
reality. Regardless, consumers will still measure retailers on
their ability to deliver on their wish lists this holiday season,"
said Mike Webster, senior vice
president, and general manager, Oracle Retail. "Accountability will
be the name of the game. Retailers must have clear visibility into
their inventory, a realistic timeline for the fulfillment, and a
plan to communicate clearly throughout the order and delivery
processes. Through transparency and execution, retailers can earn
trust with their customers and build the potential for future
loyalty."
The survey polled 5,728 global consumers, including 512 in
the United States, in September 2021. The Untold Insights survey asked
consumers about their pandemic shopping habits and plans for
holiday shopping. Unwrap your complimentary copy of the report.
Supply chain woes
Gift givers are worried they will be
left holding an empty box as products may not be available or will
take too long to arrive:
- 28% of respondents are anxious that the products they want will
be more expensive due to the scarcity
- 27% are worried desired products won't be available
- 17% are fretting that friends and family will be disappointed
as they don't get the gift they want
- 16% are concerned that favorite holiday treats, like pumpkin
spice lattes, won't be available
Santa's sleigh on delay
Seventy-two percent of
respondents will have gifts delivered to their home (up from 64% in
2020), but many (22%) are worried shipping times won't meet their
expectations and will be late – if they arrive at all. To ease
their concerns, 65% of respondents say granular tracking of
delivery status is very important.
- 36% of respondents say fast delivery determines whom they order
from. Nine percent of consumers expect same-day delivery, 28%
1–2-day delivery, and 41% 3–5-day delivery.
- 30% of people say they will be outraged if shipments are
delayed
- 38% worry gifts will arrive later than anticipated
- 25% are concerned gifts won't arrive at all
- 18% are willing to pay more to ensure faster or guaranteed
delivery
- 55% are getting creative and saying they are very likely or
might use an on-demand service like DoorDash to order last-minute
gifts
Adding insult to injury, even if the package finally gets to its
destination, 32% of people fear porch pirates may steal it!
In-stock or out of luck
Despite the challenges, being
able to get their hands on the products they want will be a
critical factor in how shoppers judge retailers this season:
- 40% agree that out of stock items constitute a lousy shopping
experience
- 38% say they are attracted to brands/companies based on product
availability
- 22% won't wait for a retailer to restock before they go
somewhere else
Despite the lure of low prices, many consumers are not willing
to wait for store holidays to get what they need. Just 37% of
shoppers said they would participate in Amazon Prime Day(s) or
Black Friday sales. A smaller number (26%) say they will take part
in Cyber Monday events.
Buy your parents a gift card
When asked what gifts
they plan to buy more of this year, gift cards emerged as the top
contender:
- 34% plan to buy more gift cards (60% of Boomers and 44% of
women said that is the gift they would also most like to
receive)
- 26% each plan to buy more fashion apparel, home goods, and
electronics
- 25% more beauty products
- 22% more footwear
Getting real on returns
They may tell you they love
the gift, but nearly half of Millennials are really planning to
return it. The good news for retailers; 76% of people said they are
likely to buy other things when they come into a store to make a
return:
- 41% of people plan to make some gift returns (67% for
Millennials)
- 24% plan to return half to all their gifts (48% for
Millennials)
- 60% of Gen Z* shoppers will return at least some gifts, while
90% of Boomers have no plans to return their gifts
- Men (50%) are more likely than women (30%) to make at least
some returns
Delta not denting holiday shopping
Consumers seem less
concerned about the pandemic, with more shoppers opting to buy
in-store this year:
- 20% of consumers plan to shop mostly in-store, up from 15% in
2020; 45% are planning both in-store shopping and online shopping,
up from 35% last year
- 72% feel comfortable shopping in an outdoor setting, while 66%
feel comfortable shopping at an indoor mall
- When asked what makes them feel most comfortable about going
out to shop, 66% said mask mandates; 15% vaccination proof for
guests; 13% social distancing
Learn more about holiday shopping trends from Oracle Retail.
*Gen Z (18-24); Millennials (25-39); Gen X (40-54); Boomers
(55+)
About Oracle Retail
Oracle provides retailers with a
complete, open, and integrated suite of best-of-breed business
applications, cloud services, and hardware that are engineered to
work together and empower commerce. Leading fashion, grocery, and
specialty retailers use Oracle solutions to anticipate market
changes, simplify operations and inspire authentic brand
interactions. For more information, visit our website at
www.oracle.com/retail.
About Oracle
Oracle offers integrated suites of
applications plus secure, autonomous infrastructure in the
Oracle Cloud. For more information about Oracle (NYSE: ORCL),
please visit us at oracle.com.
Trademarks
Oracle, Java, and MySQL are
registered trademarks of Oracle Corporation.
View original content to download
multimedia:https://www.prnewswire.com/news-releases/consumers-already-holiday-shopping-to-avoid-the-supply-chain-grinch-301403239.html
SOURCE Oracle