Shortened Peak Season, Inflation/Affordability and Online Shopping Trends: Survey

Kenco has brought back its survey of over 250 U.S. consumers to get a pulse on their peak season spending habits and their holiday shopping plans and concerns.

Consumers are feeling the pressure of inflation this holiday season with 74% concerned about affording gifts. Additionally, most (76%) will continue to look to free, slower shipping options than those that require payment. However, when it comes to the supply chain, consumers are less worried about inventory concerns this year, showing a 31% reduction in inventory concerns from the 2023 survey.

“As e-commerce leaders face a shortened peak season due to a later Thanksgiving, it’s essential they strike the right balance between meeting consumers’ affordability concerns and ensuring their products get to them in a timely manner for the holidays,” said Frank Loewen, Senior Vice President of Operations at Kenco. “Whether it’s driving additional promotions or offering incentives for longer shipping times, eCommerce leaders who keep a close eye on their customers’ activities and stay agile in their operations will likely see success this peak season.”

Key Takeaways:

• Consumers are shopping earlier, with 55% already starting their peak season shopping, a 31% increase from this time last year.
• The eCommerce market continues to grow with 78% of consumers preferring online shopping over in-person shopping during peak season.
• Ability to afford gifts (75%), slow shipping times (49%), lack of inventory (38%) and understaffed retailers (34%) lead consumers’ supply chain concerns this peak season. However, consumers showed a 31% reduction in inventory concerns compared to this time last year.
• Free shipping remains superior. 76% of consumers agree they would choose a free, slower shipping option over a payment-required, faster shipping option, a slight increase from last year (73%).
• 75% of consumers agree they would choose a slower shipping option if it meant they received a reward/bonus.
• While 79% of consumers agree they anticipate shipping delays this peak season, 51% have fewer shipping concerns compared to this time last year.
• The blame for delayed shipments has shifted from the shipper/carrier to the seller/retailer this year – with 38% likely to blame the seller/retailer if a shipment is delayed, and 36% likely to blame the shipper/carrier.
• Sustainable operations are a priority for consumers with 73% of consumers preferring to purchase from a brand that has sustainable practices.