Christmas creep expands advertising campaigns

Chris Pash
By Chris Pash | 5 November 2024
 

The sound of jingle bells, a commercial appeal to consumer wallets, is getting louder as Christmas campaigns across media in Australia call for a start to festive spending.

Myer pushed off the sleigh with Share The Joy via Clemenger BBDO, staring Humbug, a grumpy anti-hero.

Woolworths followed sharply with Make this Christmas a Classic, via M&C Saatchi, with a little girl worried that Santa may not be able to find her. 

Is this what has been termed Christmas creep, that campaigns are getting earlier and earlier each year as retailers head into crucial Christmas and holiday trading? 

Both Woolworths and Myer are right on timings compared to last year. They are not early by their own track records.

But in the UK, the big festive season opener, the John Lewis Christmas campaign, is still to come. Many mark this as the start to retail seasonal spend.

However, the department store has released two clips in the lead up to Christmas which reportedly has been doing big things for sales.

“We’ve been surprised to see that customers are shopping earlier than ever this year,” said Lisa Cherry, head of buying for Christmas for John Lewis. “Sales are significantly up as customers can't wait to get their hands on some festive sparkle and we see they’re buying with confidence.”

In Australia, analysts have noted that shopping habits have changed with many getting their Christmas presents in the cupboard early, especially with Black Friday sales. 

“There is a definite trend towards shopping earlier - with many Australians trying to find value or a bargain to help with budget management,” said Fleur Brown, chief industry affairs officer at the Australian Retailers Association.

“We expect Black Friday will be bigger than ever this year for that reason too. 

“Certainly the customer is doing more research than ever and not necessarily wanting to leave things to the last minute as it will cost more.

“Also there is some residual behavioural changes from previous years when there were shortages of stock and delays in overseas shipments - all largely resolved. 

“Retailers are also fighting harder to win the customer this year with disruptors like Temu and Shein cutting into spending share.”

Amanda Spry, senior lecturer in market at RMIT University, said Myer’s timing in releasing the Humbug commercial is in step with other Christmas promotional elements, such as shopping centre decorations and the stocking of seasonal items and gifting bundles into the supermarkets, department stores and other retailers.

"Unlike the US where Thanksgiving sits between Halloween and Christmas, in Australia, once Halloween has come to a close, the next opportunity for celebration for many (and therefore promotions for marketers) is Christmas," she said. 

"It doesn’t hurt to put Christmas (and Christmas shopping) front of mind for consumers in advance of the Black Friday/Cyber Monday sales. 

"While these are technically a few weeks away, a growing number of retailers are launching these sales earlier and earlier each year, and it’s lucrative to remind people to shop for Christmas at this time and take advantage of deals and discounts. 

"There is no mistaking that this is a retailer strategy for extending the shopping season and driving higher overall spending. But, for consumers, this hopefully provides more time and opportunity to comfortably budget for their holiday spending, access cheaper prices for longer periods, and avoid paying extra for expedited shipping close to Christmas. 

"These potential benefits to consumers are not insignificant with so many facing financial pressure during a cost-of-living crisis." 

The latest data from the Australian Bureau of Statistics shows subdued retail spending in September with growth at 2.3%. 

“Retailers are gearing up for peak season, with Christmas in full swing, with most consumers having already commenced Christmas shopping to spread out purchases," said Paul Zahra, the CEO of the Australian Retailers Association. 

“We know this year, more people will be shopping even earlier, planning to complete their gift purchases at the legendary Black Friday and Cyber Monday period – which is why many retailers are eagerly anticipating the back end of next month," he said. 

“This remains one of retail’s most challenging years – with a continued slowdown in discretionary spend, high business costs along with ongoing challenges such as retail crime, supply chain disruptions, and the most significant workplace relations reforms in decades.” 

More than half (53%) of Australians finalise their holiday shopping lists by October, a number that jumps to 70% for those with kids living at home, according to a Shopify survey of 2,000 Australians. 

About 29% will do their festive shopping in November, the single busiest month, and 58% will have done most of their holiday shopping by the end of the month. 

Australians shopping online tend to plan and shop earlier than those who will do the majority of their festive shopping in store.  

This year’s Black Friday-Cyber Monday sales are once again projected to be a frenzy. 

Almost half (49%) of Australian consumers intend to do the majority of their holiday shopping that weekend (November 29 to December 2).  

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