2023 Retail Industry Trends

Retailers are having to seriously adjust how they market to customers in 2023. A challenging economy and rapidly evolving digital marketplace have radically transformed how retailers approach consumer engagement and conversion strategies. Luckily for you, we’ve worked with retailers of all sizes for years, and put together a retail industry trend cheat sheet just for you. 

Omni-Channel Marketing

To compete in the retail landscape, brands today have to leverage multiple digital channels. In addition to selling in-store or on their website, retailers engage customers on social media, OOH platforms, storefronts, and CTV ads. The key to success in 2023 is accessibility. Putting your brand on every platform makes it easier for consumers to engage with your brand at different times with different touch points, and buy. 

Automation

In-store pickup and same-day delivery are considered standard retail services in 2023. Therefore, you need to automate your store’s inventory. Consumers want to know whether an item is in stock. If that information isn’t accurately displayed on your website or mobile app, shoppers will buy from another retailer. Thankfully, Vibe’s self-serve platform allows advertisers to switch out their creative any time, at no extra cost, so you can tailor your ads according to inventory levels and delivery delays!

Social Media Commerce

Leveraging eCommerce tools on social media platforms is a sure way to boost retail sales in 2023. Consumers are becoming increasingly reliant on their phones, and social media engagement continues to soar. Selling products directly on Instagram, Facebook, or TikTok is an effective strategy to convert customers. People are already glued to their phone screens. Take advantage of that behavior by creating a fast and easy way to buy your products. 

Engaging Customers

The ability to create highly-visible reviews makes the customer experience paramount in 2023. Retailers are opening the communication channel between shoppers and their brands by asking for consumer feedback, engaging in social media conversations, adding interactive QR codes to their TV ads, and encouraging product posts. 

Consumers want to feel valued and shop with businesses that appear accessible. Online shopping has introduced them to thousands of retailers. The decision of where to shop is heavily rooted in feelings of trust, quality, and transparency. Creating easy modes of communication for shoppers is a 2023 retail trend that will persevere for years. 

Influencer Marketing

Retailers are raising awareness of their brands and products through influencer and affiliate marketing strategies in 2023. The retail industry is saturated with brands and suppliers. As a result, shoppers need help deciding which product will best suit their needs. As a result, consumers turn to reviews and product videos created by trusted influencers on television and social media.

Prepping for a Bad Economy

The recession is hitting both retailers and consumers. Most retail shops have reported a plan to raise pricing in 2023 to offset increased shipping and material costs. These increases are no surprise to shoppers; however, it does mean that shopping behaviors will shift. As consumers’ budgets stretch less, flexible payment options will become more critical. Retailers are continuing to increase payment acceptance, including partnering with finance platforms like Affirm or Klarna that split large purchases into small monthly payments. Make sure to highlight this flexibility in your campaign creatives.

Loyalty Programs

Between rising costs and an oversaturated market, retailers are increasing client retention through premium loyalty programs. They offer reward points on every purchase, exclusive discounts to current customers, and subscription-based deals. In 2023, shoppers want to spend with companies that provide value and excellent customer service. As a result, loyalty programs will become more competitive in 2023.

Video Marketing

2023 is the year of digital expansion for retailers. Static images and email blasts are not enough to engage shoppers. Video advertising will be the most effective strategy for retailers in 2023. Product videos are more entertaining, offer information that helps push consumers to buy, and when they appear on tv, which remains the channel consumers trust the most, yield the highest ROI of any campaign type. That’s right, as of 2023, CTV ads are outperforming linear TV commercials in cost, efficacy, and flexibility, leading marketing strategies for 2023.