Promotional Strategy

Gift cards are a tried-and-true strategy for influencing purchase decisions and, as such, have proven to be a lucrative revenue stream for small and big-box retailers alike. Today, gift cards take many forms and represent more than $110 billion in sales. Tomorrow, however, holds something much bigger for retailers with gifting programs. There's a "branded currency" revolution on the horizon; those retailers that can make the transition from a traditional gift card program to a comprehensive branded currency strategy will have the opportunity to increase online and in-store sales, drive new customer acquisition and grow loyalty.

Holiday shopping has certainly changed since the rise of e-commerce and world domination of the internet-connected device. Retail has gone thoroughly multichannel, with shoppers researching, browsing and buying in increasingly diverse ways. Yet the heart and soul of holiday shopping — as well as retail commerce year-round — is still the brick-and-mortar store. In fact, Gartner reports that, even allowing for the increase in revenue from e-commerce, retailers should expect 85 percent of their revenues to come from physical stores through 2016.

MarketLive, an e-commerce platform provider, has released its annual online retailer survey and recommendations for the 2013 holiday retail season. Among the many report findings, MarketLive found that an overwhelming majority of holiday shoppers will respond to retailers’ promotions offering free shipping, and they will ultimately shop with the retailer who can guarantee an on-time delivery date and/or the best shopping experience. The survey sample included 1,000 consumer questionnaires. The report illustrates consumer survey results with tactical examples drawn from promotional campaigns by Nordstrom, Sport Chalet, Sephora, Lowe's, Home Depot, Pottery Barn, REI, Restoration Hardware, Amazon.com, Blue Nile and Francesca's.

Target is getting ready for the holidays with a big multichannel push that includes expanding its in-store pick-up program for products ordered online to all of its U.S. stores by Nov. 1 — a service that's now available in about half of the chain's locations. Target will run an ad campaign Dec. 1 through Dec. 3 that promotes deals during Cyber Monday and the rest of Cyber week. Target's overall holiday campaign, themed "My Kind Of Holiday," will extend across all channels, including broadcast, radio, in-store, catalogs, digital and social media.

With the school year well underway, holiday shopping is even closer than you think. Many retailers use the back-to-school shopping season as a test run, prepping their brick-and-mortar and online shopping experiences ahead of the holiday shopping rush. It's up to retailers to ensure their sites are not only mobile ready for the holiday shopping season, but that consumers have a consistent experience wherever and whenever they interact with the brand.

CVS/pharmacy is launching myWeekly Ad, a digital circular powered by the CVS/pharmacy ExtraCare program. The new circular serves up a personalized version of the sales ad for each customer. Upon signing up, each user will immediately see which of their favorite items are on sale that week, including frequently bought items or deals in categories that might be of interest to that specific shopper. Personalized ExtraCare savings and rewards can also be found all in one place. 

There are two common sense strategies that every digital marketer should employ well before Cyber Monday: one, maximize conversion drivers and, two, minimize conversion barriers. Here are some ways how:

Add Macy's to the list of retailers kicking off "Black Friday" on Thanksgiving Thursday. Macy's will open the doors at most of its 800 namesake department stores at 8 p.m. on Nov. 28. The company said the shift was voluntary for workers and that the move was "consistent with what many rivals are doing." Traditionally, retailers have waited until Black Friday, the day after Thanksgiving, to start their end-of-the-year push for sales. U.S. retailers have extended their hours on Black Friday in recent years to get a jump on the holiday season sales.

Staples is offering an added incentive to drive traffic to its stores this holiday season. Starting Nov. 3, the retailer will match prices on items sold and shipped by Amazon.com or any retailer that sells products in retail stores and online under the same brand. "Staples is committed to offering great products at the best prices," said Alison Corcoran, senior vice president of North American stores and online marketing. "Staples customers will be able to shop confidently during the holiday season and beyond knowing that we're providing them with all the right products and must-have gifts at the lowest prices."

Americans will be hankering to live more like the Jetsons, snatching up everyday consumer products that talk back and tell users what they need to know (or what they think they need to know). At the same time, retailers will operate more and more like Big Brother, sending shoppers more targeted emails that reflect stores’ increasingly sophisticated monitoring of buying patterns and behavior. Those are two of the five major digital trends that will drive the holiday shopping experience this year, said Kyle Lacy, senior manager of content marketing and research for ExactTarget, a provider of digital marketing software solutions.