The Fourth of July is a time for celebration in the U.S., and this year was no different. People around the country enjoyed barbecues, fireworks shows, parades, and more as they celebrated America’s Independence Day.
But what many people don’t realize is that behind all the fun and festivities are insights to be gleaned from shopper purchase data.
Customer behavior is constantly changing and evolving, making it essential for brands and retailers to keep up with the latest trends. This year’s Fourth of July was no exception—shoppers were out in full force, taking advantage of discounts and special sales.
But what exactly did they buy? In this blog post, we will take a look at the shopper data from this past Fourth of July holiday weekend so you can make more informed decisions during the next key selling period.
Factors That Could Influence Consumer Spending
Part of developing a successful holiday sales strategy includes forecasting the upcoming season. This way brands and retailers know what kind of market climate they are dealing with instead of going in blind.
Some possible influences this year include:
Costs of Goods and Services
According to the USDA, grocery inflation prices have gone up 5.8 percent since May of 2022. This is above the historical average rate. With this mind, shoppers may not be willing to splurge quite as much on some food items this year.
In fact, a study done by NACS shows that two-fifths of consumers expected inflation or a potential economic slowdown to impact their 2023 Independence Day plans, and three-quarters were actively looking for ways to save money.
Changing Technology
One of the most common purchases made during the 4th of July season is fireworks. But, with an increase in technological advancements, there are many cities and shoppers who are opting out of pyrotechnics and are instead choosing to use drones for elaborate light shows. For some this change is economic based, but for others it’s a matter of safety.
In fact, just this year, Salt Lake City, Utah made the switch over from fireworks to drones in order to promote safety after a record number of wildfires.
Amazon Prime Day
Since its inception in July of 2019, Amazon Prime Day has created fierce competition with 4th of July holiday sales and discounts. Independence Day sale events usually take place during the first week or two of the month, while Prime Day tends to fall sometimes around July 12th. This essentially forces shoppers to choose between the two sales events and find the best deals.
Shopper Purchasing Predictions & Priorities
In a study conducted by Numerator, about two-thirds of shoppers indicated that they intend to spend at a similar rate this year as they did in 2022. However, a fifth of respondents indicated a reduced budget for the holiday celebration this year, suggesting a potential shift in priorities or economic factors influencing consumer choices.
In anticipation of this, over half of shoppers say they’ll buy items on sale while nearly a third will prepare budget-friendly foods. Other money-saving measures include:
- Use more coupons
- Shop at dollar or discount stores
- Switch to store brands
- Buy smaller items
- Travel less
Of those surveyed, most shoppers stated that they intended to purchase food and beverages (both alcoholic and nonalcoholic), followed distantly by decorations, party supplies, candy, apparel, games/activities, and lastly, gifts.
Fourth of July Spending 2023
This year, Wiser Solutions gathered in-depth retail data in order to analyze Independence Day purchases. Wiser’s mystery shoppers visited grocery stores across the U.S. to capture shelf conditions and shopper sentiments in the lead up to July 4th.
Wiser data shows that both shoppers with and without children are prioritizing family time this Independence Day, though those who do have children place a higher importance on both fireworks and cookouts.
When looking at shopper purchasing intentions, Wiser found that most shoppers intended to purchase hamburger and hotdog ingredients, with grilling meats following closely behind. On top of this, those with children were more likely to purchase festive related groceries compared to those without children.
Wiser’s mystery shoppers paid particularly close attention to in-store stock levels, displays, and promotions.
Their data shows that 25 percent of stores were pushing snacks at secondary locations near the entrance, 12 percent of those snack brands had on-theme holiday packaging, and 10 percent of snack brands were running promotions specific to the 4th of July.
As far as displays are concerned, 40 percent of stores utilized themed displays near the entrance. These displays typically included produce, snacks, and candy.
Among these retailers, Albertson’s and Food Lion had the most themed packaging in their displays.
What Can Be Gleaned From This Year’s Data
The 2023 Independence Day purchase data shows that people are still eager to celebrate the holiday with purchases. The most popular items purchased to celebrate Independence Day were food, decorations, and party supplies, indicating that even in a difficult year for many financially, there is an urge to mark this important day as we have done traditionally.
With careful planning and strategizing based on past trends, companies can tailor their marketing approach accordingly to draw more customers into stores or onto websites in the upcoming holiday seasons. It’s important to remember that not all shoppers shop alike; rather than obsessing about what worked before, stay flexible so you can adapt quickly if needed.
The key takeaway here is that with thoughtful analysis of customer buying patterns and insights into how people think during big holidays like Fourth of July, any business has the opportunity to increase profits by anticipating customer needs ahead of time!
If you enjoyed this blog and want to learn more about the type of data Wiser can collect, visit Wiser.com today.
