The Importance of the Holiday Season for Your Small Business

The holiday season is one of the biggest sales seasons of the year. In this article, we’re going to cover some statistics that show the growth the season can provide, why the holiday season is important for small businesses, and tips on how to make the most of the season as you can for your small business.

Let’s look at some important statistics for your small business during the holiday season.

- 50% of all small businesses get more than 25% of their annual sales in the holiday season.

- 61% of shoppers are open to shopping at new places during the holiday season.

- 87% of consumers state they are more likely to return to a small business after visiting them during the holiday season.

- Small retail businesses are 2 times more likely to have to rely on holiday sales for roughly 50% of their annual revenue.

- Intent to splurge for consumers (either on themselves or others) has declined from 39% to 35%.

- A majority of small businesses see the holiday season as the most important time to find and retain new customers.

- The average Christmas spending per person is expected to reach $950 in 2023.

- 51% of people said they would begin holiday shopping before November.

The holiday season takes place from October to December. Once it’s reached this time of year, there’s little room for error for many businesses if they hope to keep a strong presence for the next year. The holiday season is, for many businesses, their last chance to meet sales goals for the year, as it also falls into the 4th quarter.

This point in the year is also important for customer retention, business growth, and prepping for the first quarter of the new year based on the past year's statistics.

How can you make the most of the holiday season as a small business?

Consumers likely do not realize how much of an impact they have on small businesses during the holiday season.

How can you, as a small business owner, remedy this? Here are some ways:

- Show your customers how much you appreciate them.

Your ability as a small business to connect with your community is something that can give you the upper hand during the holiday season. 27% of consumers say that they never hear from a business again after making a purchase, even though 81% of them will be more open to receiving correspondence from a business they buy from.

Customers like to know their business is important to you. If you take the time to acknowledge them for their support, especially during the holiday season, you raise your chances of making a lasting impact on them, and they’ll be more likely to do business with you again. Doing this also helps get your business name out there more.

- Plan ahead You, as a business owner, should be planning as early as your consumers are.

50% of people will begin shopping for gifts as early as October, with some planning out gifts and searching for ideas in August and September. Plus, those who start shopping before Thanksgiving will spend an average of $460 more than those who begin after Thanksgiving. Statistics on what consumers will want to shop for and what they find important for the holiday season will be coming out once their search begins, so keeping an eye on the timing is important to catch the trends.

- Focus on the holidays that benefit your business.

The holiday season covers a wide range of holidays, but your businesses don’t need to participate in all of them to get the most out of the season. In some cases, it could actually do more harm than good. Think about your target audience and what they most want to get out of your business.

Promoting during Christmas may be great for your business, but would it help to do so during Halloween? Or if your business can’t handle providing the same sales that bigger businesses can on Black Friday, maybe promoting your business on Small Business Saturday would be better for you. It’s all about finding what’s best for your business for the holidays.

For more information on the best way to market your business for what you need, check out these other CCS articles:

-Digital Marketing Vs. Traditional Marketing and How They Can Work for You

- Marketing Your Small Business

- Rhetorical Triangle in Your Writing

The holiday season is extremely important to many small businesses for meeting yearly goals and solidifying their spot in their community. However, figuring out how to get it right for your business may be difficult. If you need help figuring out how to use the holiday season to its fullest and maximize marketing and profits for your business, contact Comprehensive Consulting Solutions for Small Businesses, and we’d be more than happy to help!