Black Friday is Coming!

The holiday season is quickly approaching. If you’re a retailer, that means it’s time to finalize your plans to take advantage of this critical time. Black Friday and Cyber Monday may traditionally be the biggest shopping events of the year, but this season comes with a twist—shoppers are waiting longer to click purchase, and the real sales rush could happen in December. Are you ready for it?

The Impact of Black Friday’s Late Date and December’s Surge

As Black Friday falls on November 29th this year, just days before the start of December, retailers face a compressed holiday shopping window. Add to that the major shipping cut-off starting on December 10^th (Canada Post), and it’s clear that December will be a make-or-break period for online sales. Retailers must be prepared to handle a late but intense shopping surge, particularly in the first week of December, when both Cyber Monday (on December 2nd) and the last-minute rush collide.

PwC’s 2023 research shows that 30% of Canadian shoppers plan to make their purchases after Black Friday weekend, meaning they’ll still be actively looking for deals well into December. For e-commerce brands, this means high sales volumes are expected, even as shipping cut-offs loom. Advertisers and retailers who aren’t prepared could miss out on capturing a significant share of holiday spending during this critical period.

What Smart Advertisers Should Do: Strategies for a Profitable December

Prioritize Volume Over Cost-Efficiency

The focus during the holiday season should be on maximizing revenue, even if it means lowering efficiency targets. Relaxing your return on ad spend (ROAS) goals allows campaigns to reach more potential customers. By prioritizing volume over micro-efficiency, you ensure that no potential customer is left on the table for your competitors, even if some segments are less profitable. In a high-demand period like December, capturing as much revenue as possible is critical.

Leverage First-Party Data to Drive Campaigns

One of the most powerful tools available to advertisers during the holiday season is first-party data. This data allows you to create hyper-targeted campaigns that resonate with your audience. By analyzing lapsed customers, high-value shoppers, and recent purchasers, you can develop more personalized campaigns.

• Cross-Selling Opportunities: A customer who bought a winter jacket can be targeted with ads for matching gloves or scarves, increasing the chances of repeat purchases.
• Lookalike Audiences: Use first-party data to identify patterns in your best customers and target lookalike audiences who share similar behaviours, driving more conversions.

Budget for December’s Surge

With Black Friday extending into the first two days of December, plus Cyber Monday and a surge of last-minute shoppers trying to meet shipping deadlines, it’s crucial to allocate a strong budget for December campaigns. Ensure that your campaigns are not limited by daily budget caps—you don’t want to miss out on potential sales due to insufficient funds.

Take Advantage of Pre-Black Friday Sales

A growing trend over the past few years has been the rise of early November sales, allowing brands to secure share-of-wallet before the Black Friday rush. Google Trends data shows that interest in Black Friday sales starts rising at the beginning of November, indicating that consumers are actively searching for deals weeks before Black Friday. This is validated by PwC’s 2023 research, which found that 30% of Canadian shoppers plan to make their purchases between Thanksgiving and Black Friday

Hudson’s Bay, for instance, launched pre-Black Friday sales as early as mid-November last year, giving them a significant first-mover advantage by capturing shoppers before the Black Friday frenzy. By offering early deals, retailers can engage deal-seeking shoppers who are ready to buy, ensuring they capture critical sales well before Black Friday.

Final Thoughts: Make December Your Most Profitable Month

The holiday season is already intense, but with Black Friday landing later and shipping cut-offs looming, December will be a critical month for capturing consumer spend. To maximize your success, prioritize revenue over short-term efficiency, leverage first-party data, and allocate enough budget to meet the demand. Retailers who prepare for these challenges will find that December can be their most profitable period of the year, while those who underestimate the demand may fall behind.

Need help making the most of your holiday season revenue potential? Reach out to us today.