As Peak gets closer, everyone would love a crystal ball to be able to predict what will happen in retail this year. After seeing amazing online growth in 2020, we hope to see this continue, but this year offers its own challenges. A few of our Summiteers have shared their predictions for Peak 2021, including the challenges retailers could face, plus their top tips for a successful Peak. Have a watch below!
So what will Peak look like for retail in 2021?
Dora: This is the million-dollar question!
Abbie: I’m hoping that Peak is going to be even bigger and better than ever. We saw some really, really strong growth in 2020, it was an unprecedented year, but there’s plenty of research out there suggesting it’s going to grow at the same level if not even more.
Martin: I think Peak is going to be bigger, and I think it’s going to be earlier. So I think it will be bigger as a result of the store environment coming back in. Obviously in 2020 stores were closed or certainly not being used in the same way. But actually, we can anticipate significant usage and growth within the store environment year on year. And we’ve also seen that huge online trend continue so we’ve seen a lot more customers starting to use online and putting those two things together, I expect a bigger Peak.
Ryan: Digital shopping. I think this will continue to dominate the growth in the market as a proportion of shoppers, particularly the older ones that have been converted into internet purchases during Covid, couple that with some that will still be a little reticent going into crowded shops this Peak.
Secondly, marketplaces. I think these will play a big role in retail growth stories again this Peak. Amazon is the obvious winner here, but there are other players such as OnBuy, who are in an enormous growth phase at the moment and certainly ones to watch out for.
What is the biggest problem retailers will face?
Martin: Transport. I think we’re seeing a huge crisis in terms of transport both at a personal level and at a retail level. So, we’re talking about lorry drivers and the lack of them, we’re talking about supply chain, we’re talking about product availability and more recently about the fuel crisis.
Dora: I think that the recent issues with distribution will be a really big challenge for retailers during Peak. People need reassurance that their items, particularly gifts, will arrive in time. I think keeping up with the increasing demand might be very challenging to some retailers.
What is your top tip for retailers?
Ryan: If you’ve ignored marketplaces up until now, get involved as you are definitely missing out on a big chunk of the market.
Dora: My top tip? Be prepared for absolutely anything! We don’t know what Peak 2021 will look like so it’s good to be prepared for anything that might come your way. From a Paid Media point of view, I would advise investing in brand as soon as possible. Start now, you want to influence your shoppers, you want to influence your target audience now, so they might become your customers closer to Christmas time when they’re ready to buy presents.
Martin: Don’t worry so much about the budget for Peak, worry about the returns. And in particular around the Black Friday and Cyber Monday period, go in with the expectation that you’ll spend whatever it takes provided you’re getting satisfactory returns.
Abbie: Start your Peak prep now, in fact start it yesterday, start it last week. People are already shopping for Christmas so we really need to get our heads in the game and start prepping for Peak now.
If you need any last minute support with your Peak preparation, get in touch with us today at [email protected].