UK consumers are predicted to spend £1.5bn on Cyber Monday, with 73% of shoppers planning to head online during the weekend in order to pick up a bargain. Cyber Monday has become a key event for many British brands to boost their profits.
According to Scoot, 79% of UK retailers expect revenue to increase, however a survey by digital survey professionals Toluna, shows that this year will be the first to see a drop in the number of people planning to shop online. The Black Friday and Cyber Monday period is now considered essential for the retail sector to maintain strong growth.
Optimove CEO, Pini Yakuel, commented: “The next few days will be a chaotic period for shoppers and retailers alike, with consumers flocking to take advantage of price cuts and discounts. Some believe customers who first purchase on Black Friday or Cyber Monday might stay loyal to the brand now that they’re familiar with it, so it’s easy to justify rolling out those big discounts. Despite this, only 6.5% of customers went on to make a second purchase in the following month.
“In comparison, customers who did not make purchases on Black Friday are more stable and loyal throughout that same year – transactions from repeat customers were 30 per cent higher than transactions from new customers.
“It is worth investing in the retention of new Black Friday and Cyber Monday customers now, in order to turn them into loyal customers who will further strengthen your brand when the next holidays come around. Retailers should be aware that the customers they acquire during the festive season are less likely to come back again. Hence, they should try to put together a unique retention strategy to make sure they’re doing their best to win customers back.”