On the surface, holiday creep may not seem like a problem for retailers, but when you take a closer look, you can see how this phenomenon contributes to the erosion of brands.
October 14, 2014 by Andrew Sharpe — Retail Strategist, BRANDSPANK
As someone who is responsible for making sure your company gets the most bang for your marketing buck, you may be feeling the effects of what is now well-known as "holiday creep." I’m not talking about "Bad Santa," although admittedly, that was the first image that came to mind when I first heard the phrase six or seven years ago. I’m talking about the well-documented fact that retailers are pushing forward the start of their holiday season, earlier and earlier every year.
On the surface, holiday creep may not seem like a problem for retailers, but when you take a closer look, you can see how this phenomenon contributes to the erosion of brands.
The sale-only tactic was forgivable years ago when the holiday season was reserved for only 4 weeks of the year. After all, if a retailer can make 20 percent of their annual sales in only 1/12 of the year, there is very little cost to their identity for such a short time. But today it’s different. Because the holiday season is no longer just 1 month (it can be up to 3 months — or one-fourth of the year) the cost of not sharing your retail story, and not reinforcing your position in the marketplace for such a significant length of time, is now too great. As holiday creep has kicked-in, many retail brands are losing the essence of who they are and what they stand for. And instead of continuing to share their story and position through image-based messaging, they’re falling into the anti-branding trap of red "sale" stickers and shiny starbursts galore.
And yet, brands keep doing it, year after year. Why? Probably because the whole industry is doing it.
Instead of following the status quo, ask yourself some questions: If you were a shopper, where would you go? Why would you choose one retailer over another? Answer these questions and you’ll find that the reason shoppers choose one brand over another is because of what the brand represents to them. It’s how you make them feel. It’s how your retail story relates to them on an emotional (vs. rational) level.
Looking at it another way, if it's all about the sale, there’s no real reason to choose one particular brand over another.
During times of deep discounts, with no brand differentiation, you relegate yourself to being a commodity. And then the biggest discount wins — which is ultimately a race to the bottom.
Don’t get me wrong. I’m not saying to not promote your holiday specials. Not doing so would be retail suicide. The point I’m making is that in order to differentiate yourself in the sea of 70 percent off decals, and to stand out from your competitors during the holiday season, you need to stay true to your brand and create a harmonious balance between IMAGE messaging and SALE messaging.
The balance between these two messages doesn’t need to be equal to be effective, nor should it be. Holiday season offers should be the more dominant message when you’re competing for your customers’ holiday dollars, but don’t lose your image, or your brand, in the process (which many retailers, unfortunately, do).
When your messaging differentiates you from your competition and provides the customer with a reason to consider and favor you, then the discount/sale will simply be an incentive; the call to action, so to speak. And if done well, you might actually be able to retain more margin, by not have to discount as deeply.
So, to benefit from holiday creep, and give your customers a reason to choose you (when there’s always a cheaper, or just-as-cheap option next door), you must do two things:
First: Give your customers a reason to desire your brand through strong image messaging.
And second: Give them an incentive to act on that desire. This being the sale messaging.
In doing so, as a retailer, you’ll be able to have your Christmas cake, and eat it too.
(Photo by Bob Jagendorf.)