Christmas Day has been labelled ‘Tablet Tuesday’ as consumers redeem the vouchers bought for them by last-minute shoppers, according to a new report.
The report, from media agency Mindshare, forecasts that in the UK, for instance, almost half the population (45%) now download digital content on a monthly basis, according to Mindreader, the agency’s proprietary research tool.
This, coupled with cold weather and last minute online voucher purchasing, all points toward Tablet Tuesday – a rush on Christmas Day to redeem digital vouchers to fill up new devices with games, music and video.
Norm Johnston, Global Digital Leader Mindshare Worldwide, an expert in marketing both in the United States and the UK, believes that this trend will also have an impact on business marketing strategies. He said: “Perhaps unsurprisingly the love affair with new devices such as tablets and smartphones has led to a boost for the content industry – Comscore has seen a 25% increase in sales of digital content and subscriptions this year, the highest growing category.
“I expect Christmas Day will be one of the busiest days for downloading digital content. Many people now give vouchers as last minute presents because Apps and digital content is instant – there is no supply chain, which suits today’s consumer who doesn’t want to wait for anything – making it the perfect last minute gift.”
The story is the same across northern Europe, where spending on gifts is increasing, where 70 per cent of German consumers, for instance, are planning to buy Christmas gifts online, according to recent Ernst and Young research.
Christof Baron, Regional Leader & CEO Mindshare Germany, believes that this trend is set to continue, providing cost-effective and valuable opportunities for companies targeting European consumers.
Baron said: “German consumers are willing to spend significantly more money at online retailers for Christmas gifts this year than last year because it’s more convenient, less stressful and the range is better.
“Prices are lower as well and with smaller overheads, companies can be smarter about their marketing spend and still increase their profits despite these challenging economic times.”
The situation is the same in Asia, where online sales dominate but there is more caution with the economy remaining fragile. Gowthaman Ragothaman, CEO, South and Southeast Asia, believes this has had an impact on marketing in the region. He said: “This Christmas is a season of cautious optimism for marketers. Last year companies were full of confidence but now they are more pragmatic and conscious of the bottom line.
“The rising convergence of technology will ensure that digital gifts are increasingly popular. There will be a growth in demand for iTunes gift cards and Amazon gift coupons and the younger generation is likely to send each other such gifts more than ever before.”
The increase of digital is not the end of the high street, though, with Norm Johnston offering words of reassurance for bricks and clicks retailers.
He added: “I would advise companies not to panic. Christmas is not a virtual holiday and the increase of digital consumption is merely a change in how consumers are finding, buying and having their gifts delivered. This means that an increasing focus on the consumer journey – from initial awareness, through to research and the decision to purchase – is required. Companies have to pay more attention to more different channels and in particular the role digital plays, but they should see it as an opportunity rather than a setback.”
