Survey: How to compete against Amazon for holiday sales

Although Amazon poses a major holiday sales threat, there are steps retailers can take to produce a merry season.



According to a new survey of 1,500 U.S. consumers by marketing platform provider Signal, 42% of respondents said Amazon will be their primary holiday gift destination. Consumers who use Amazon do so because it is easy (50%), because they are Prime members (36%), and because they like the product reviews and recommendations (29%).



One finding that suggests there is room to compete against Amazon is that 40% of respondents said they primarily shop elsewhere for holiday gifts. Another result that gives Amazon competitors hope is that while the primary way holiday shoppers browse for gifts is on a desktop/laptop (36%), the most frequent way consumers purchase gifts is in-stores (33%).



About one in five consumers primarily browse via mobile devices (smartphones and tablets). However, only 8% use smartphones and 7% use tablets as their primary way to make holiday purchases.



More than four-in-10 (43%) respondents say that digital advertising on a website or in a mobile app somewhat influences their holiday gift buying. One-third of respondents said that ads help them get discounts or deals, and 27% said that ads provide them with new gift ideas. However, because 48% of people surveyed also said that digital ads are annoying, Signal advises retailers to always prioritize experience above all else when planning online advertising initiatives.



"The retail environment is a complicated battleground, with mega-competitors like Amazon and demanding consumers who want to shop when they want, how they want,” said Mike Sands, CEO, Signal. “But retailers don't have to be Amazon to succeed. Instead, they can use the wealth of knowledge available in first-party data to understand their customers better than anyone else, gaining the edge they need to design personalized experiences that will delight holiday shoppers.”