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Stuffing the Social Stocking A look into consumer social sentiment and conversation around Black Friday and Cyber Monday 2013 sales.

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Building a Tradition Out of Social Trends

Stores opening on Thanksgiving Day in 2013 proved to be game-changers for the holiday shopping season. More time to shop gave consumers more time to talk, and they shared a variety of thoughts and feelings about this year’s Thanksgiving weekend shopping sprees.

But did all the consumer chatter turn into dollar signs for retailers?

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Talk Is Cheap While consumers had a lot more to say about Black Friday and Cyber Monday in 2013 than they did the year prior, their words didn’t necessarily translate into action.

More than 141 million shoppers took advantage of Thanksgiving weekend deals.4 That’s almost one out of every two Americans.

1. SAP Social Media Analytics by Netbase, December 2013.2. Ibid.3. Prosper Insights for the National Retail Federation. December 1, 2013. 4. Ibid.

Total volume of Black Friday mentions in 2013 was more than five times the volume of 2012.1

Total volume of Cyber Monday mentions in 2013 almost quadrupled from 2012.2

Yet, total purchases for the weekend fell 2.8% to $54.7 billion in 2013.3

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Consumers weren’t particularly happy about the holiday sales creeping into their Thanksgiving Day feasting.

Social media sentiment on

Thanksgiving Day dipped to 17%, the

second-lowest percentage registered

in the two-week period surrounding

the shopping weekend.5

But that didn’t stop shoppers from taking advantage of the deals.

5. SAP Social Media Analytics by Netbase, December 2013.

Shoppers’ Spirits Low

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Nearly 45 million consumers shopped on Thanksgiving Day, up from 35 million in 2012.6

“I really dislike how Black Friday shopping started on Thanksgiving. People should be home with their family, not waiting in line for stores.”Posted November 29, 2013

“Black Friday is ruining Thanksgiving. People are forgetting the real meaning of this holiday.”Posted November 28, 2013

“Thanksgiving/Black Friday is my new favorite holiday. #TurnUp”Posted November 29, 2013

6. Prosper Insights for the National Retail Federation. December 1, 2013.

Do as I Do, Not as I Say

Shoppers’ Tweets

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TGIF?

Cyber Monday once again won the popularity contest over Black Friday in 2013, according to average consumer sentiment around the weekend.7 Based on a scale of -100% to +100%, where 0% is neither positive nor negative, consumers’ general feelings around Black Friday and Cyber Monday varied.

Black Friday Cyber Monday

43% 87%

72% Average sentiment increased 72% for the almost two-week period around Black Friday in 2013.

7. SAP Social Media Analytics by Netbase, December 2013.

However, Black Friday has brightened in consumers’ eyes compared to 2012. “Cyber Monday has better deals than Black Friday.”Posted November 28, 2013

“Black Friday was a successssssss. I’m so glad the sales we wanted started earlier than last years.”Posted November 29, 2013

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At Your Convenience

No matter which day consumers sought out the sales, according to their social media posts in which they shared their thoughts and feelings about the deal days, it appears their overall shopping experience in 2013 was more convenient than 2012’s.

Is the increase in mobile shopping playing a factor here?

Black Friday Sentiment

Cyber Monday Sentiment

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Mobile Is Making Its Mark

Mobile commerce (i.e., buying on smartphones and tablets) was expected to reach for the November-December 2013 holiday

season, representing 13% of total digital commerce.8

$7.1 billion

Overall mobile transactions for Thanksgiving Day and Black Friday increased 219% from 2012.9

Mobile transactions accounted for 20% of Cyber Monday order volume, a 54% increase over 2012.10

8. comScore, “comScore Forecasts 14% Growth to $48.1 Billion for 2013 U.S. Holiday Desktop E-Commerce Spending,” November 26, 2013. 9. Usablenet, “Holiday Wrap: Mobile Jumps in Visits, Order Size and Sales,” December 2, 2013.10. Shopatron, “Cyber Monday Sees Record-Breaking eCommerce Sales Growth, According to Shopatron,” December 3, 2013.

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“… Online retail sales could also benefit over the Thanksgiving weekend and on Cyber Monday because consumers can shop using their mobile phones and tablets in the comfort of their homes surrounded by family.”

Anita D. Bhappu, PhD, associate professor and program chair, retailing and consumer sciences, at The University of Arizona

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Peer Presence

11. Crowdtap: “The Social Side of Holiday Shopping.” 12. Ibid. 13. DB5: “Study: Twitter’s Influence on Holiday Shopping,” October 7, 2013.

In today’s social environment, retailers can’t afford to be silent or ignore the chatter.

53.9% of shoppers will use social media while shopping in-store and 57.1% of that group will read product reviews while shopping.

64.8% of consumers will turn to social media sites to find the perfect gift.12

53% of Twitter users have made a purchase based on something they’ve seen on Twitter.13

53.9%

57.1%

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A New Generation of Shoppers

14. comScore, “comScore Forecasts 14% Growth to $48.1 Billion for 2013 U.S. Holiday Desktop E-Commerce Spending,” November 26, 2013. 15. Usablenet, “Holiday Wrap: Mobile Jumps in Visits, Order Size and Sales,” December 2, 2013.16. Shopatron, “Cyber Monday Sees Record-Breaking eCommerce Sales Growth, According to Shopatron,” December 3, 2013.

The Millennial generation is set to overtake Baby Boomers as the primary spender in the retail world. This tech-savvy, social-media-engaging force is becoming increasingly mobile, and retailers need to respond accordingly.

By 2020, Millennials will account for $1.4 trillion in spending, or 30% of total retail sales.14

95% of Millennials said they want their retail brands to “court them” with digital coupons.15

More than three-quarters (76.2%) of 18- to 34-year-olds shopped or planned to shop over the holiday weekend – higher than any other age group.16

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Blurred Lines

17. comScore, “Black Friday Billions: $1.2 Billion in Desktop E-Commerce Spending Marks First Billion-Dollar Online Shopping Day of the 2013 Holiday Season,” December 1, 2013.

No retailer wanted to be late to the table this Thanksgiving weekend.

Online vendors didn’t wait until Cyber Monday to begin offering some of their discounts and free shipping deals – a strategic move to compete more aggressively with brick-and-mortar retailers. Likewise, brick-and-mortar stores stretched their sales through Cyber Monday, often offering joint in-store and online deals.

As more retailers begin to offer holiday deals earlier and earlier, it appears the lines between Black Friday and Cyber Monday continue to blur, blending into one giant sales event rather than distinct deal days.

Nearly half (66 million) of Black

Friday shoppers took advantage

of online deals, representing a

15% year-over-year increase.17

“The only Black Friday shopping I’ve done is the online kind. It’s the best way to avoid crowds and you get what you want too.”Posted November 29, 2013

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Are You Prepared? We’ve entered a new era of how we look at and interact with today’s consumer.

Discover more trends and insight into shopper social sentiment and conversation. View the 2013 Black Friday vs. Cyber Monday infographic.

Or, if you’re still looking for the perfect gift for that special someone, check out SAP’s dynamic dashboard that monitors social conversations on the holiday’s hottest toys.

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For more details on retail solutions from SAP, visit SAP Retail today.