We think this may be a very different 4th of July Holiday weekend. It will not be just about red, white & blue window displays, or flag waving, or fireworks displays. Instead, there is a new mood, a new attitude that is emerging. First, we believe that all shoppers are reeling from being swamped by some major and concurrent attention-grabbing events and trends affecting all of us. Seemingly with no end in sight.
And if all that weren't enough, the spikes in the Covid virus are continuing. The repeated headlines of gun violence, and those children. And now, a devastating heat wave will be affecting about half of the country in the next few days. And look, we haven't named all of the unique currents. But, we do call your attention to our prediction:
You might call it a new patriotism. And we think this is going to be very evident – and appropriate – this 4th of July weekend. What does that mean for retailers? In our opinion, it's a great opportunity to help celebrate the shared endurance that we all must continue to have. And to gain strength by renewing our bonds of community with our family, friends, neighbors, customers, staff, suppliers, et al. There's really a great deal to feel good about. Keep the faith.
This Holiday season is bringing three big waves for retailers, in rapid succession. And each one requires a strikingly different management response.
Faced with the shipping delays (and surcharges), customers have turned to brick-and-mortar stores. The savvy retailers are ready for them.
As the final third of the year approaches, there's a "new era" afoot. There is optimism in the air. Optimism? Really? Yes! And it could catch a lot of folks by surprise.
Yes, the shoppers WILL be returning. But boy, have they learned a lot during these pandemic times. They are far more comfortable with online shopping, and in many cases, eager to continue that. And the convenience of "contactless" features like curbside pickup and BOPIS (Buy Online, Pickup In Store) are welcomed. In fact, an extensive survey from McKinsey & Company* provides considerable detail about the newly-learned online shopping behaviors of customers, and their expectations of continuing to use these new-found skills.
Particular changes with presumed staying power:
But hold it. Wait just a minute. Our countervailing view is that the "homebody economy" will wear thin. And while customers do care even more about basics and value, especially when it comes to Holiday shopping, they will want "special."
So, say you have re-opened your stores. Then what? Did the customers come back? Or, were many of those who did show up just there to say "Hello!" And "We missed you!", but not to buy? Sigh. We are not surprised. And here's why.
What a scenario. Shoppers buying vigorously, retailers joyously raising sales expectations, and many more anxious lenders offering "cash in 24 hours!" to business owners. Wow! Are these the good times, or what? Forgive us, but today we're focusing on the "or what?" aspect.
Incredible value! 👀
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