Ecommerce Seasonality 101 (2024)

Ecommerce sales volumes are steadily increasing. According toStatisa, ecommerce is predicted to account for nearly a quarter of total global retail sales.

But yearly and quarterly reports don’t tell the whole story. Seasonal sales fluctuations — known as ecommerce seasonality — can impact brand sales and make or break their profitability for the year.

Here’s a breakdown of the basics of retail seasonality, the best and worst months for ecommerce sales, examples of common seasonal impacts, and actionable tips for brands to navigate seasonal fluctuations.

What Is Ecommerce Seasonality?

Ecommerce seasonality refers to recurring purchase patterns that occur every year.Holiday shopping is an easy example— in the United States, sales volumes pick up significantly in November with Black Friday and stay strong through post-Christmas sales. In the new year, meanwhile, sales often fall as customers return to work and deal with any debts incurred over the holidays.

Although brands can’t predict exact revenue volumes, the seasonality of customer behavior can help companies plan for regular sales increases or decreases and prepare accordingly.

What Are the Best (and Worst) Months for Ecommerce?

The best months of the year for ecommerce are November, December, and January. November marks the start of the holiday season in the United States and includes high-volume sales days such as Black Friday and Cyber Monday.

Consumers increase their spending in December, searching for last-minute holiday gifts, and in January, purchasing all the items that are on sale.

February and March tend to be slow months for ecommerce sales because many customers are returning to work after the holiday season, and they’re often focused on reducing spending or paying off any holiday credit card debt.

The Reality of Seasonality: Examples of Seasonal Sales Impact

Ecommerce seasonality falls into three broad categories: holidays, weather, and recurring events.

Holidays Boost Sales

Commonholidays that can help increase ecommerce salesinclude Black Friday, Cyber Monday, Christmas, and New Year. Other holidays that can boost purchase volumes include Hanukkah, New Year’s, Diwali, and Ramadan.

Businesses may also be able to capitalize on limited-time sales around holidays such as Mother’s Day, Father’s Day, Valentine’s Day, and Halloween.

Weather Affects Your Product Listings

For brands that sell clothing or outdoor items, weather plays a crucial role. For example, outdoor clothing and gear stores should stock products such as shorts, sandals, and sun hats during the summer. In the winter, jackets, mitts, and warm underlayers are more likely to sell.

It’s also worth noting that brands can create customer interest with end-of-season or even off-season sales.

Recurring Events Create Opportunities

Non-weather, non-holiday events offer opportunities for ecommerce brands. For example, back-to-school season comes with an uptick in sales volumes for school supplies, clothing, and electronics. In addition, brands can create their own seasonal events with clearance sales for old product stock.

Seasonal Shifts: How Brands Can Better Navigate Ecommerce Seasonality

While brands can’t control the impact and outcome of seasonality, they can take steps to better navigate these changes.

Step 1: Plan Your Strategy

Understanding the ebb and flow of monthly ecommerce sales along with the impact of holiday sales can help brands manage seasonality — if they plan accordingly.

This planning often happens during the slower sales months of February and March. It includes a reevaluation of brand messaging and marketing, along with the mapping out of campaigns for specific holidays or seasons.

Brands don’t need to plan for every holiday, however. Instead, it’s worth selecting a few high-priority sales events and then creating social and digital campaigns to drive customer engagement.

Step 2: Know Your Audience

Seasons and holidays aren’t universal.

Consider Australia. When the United States experiences summer, Australia has its winter. As a result, seasonal sales campaigns are reversed for these two markets: When you’re selling winter coats in Michigan, you’re marketing shorts and flip-flops in Australia.

Holidays also differ based on geographic location. For example, in the U.K. and Canada, Boxing Day — December 26 — is a popular day for post-Christmas sales. Creating campaigns that incorporate this holiday can help boost regional sales.

Step 3: Build Your Brand

Just because you’re in the sales slump of February and March doesn’t mean it’s time to rest on your laurels. Instead, it’s an opportunity to build brand recognition through social media and blog posts and set the stage for upcoming sales events.

It’s alsoa good time to dig into retailandconsumer trend forecastingto see what’s a priority for buyers and what’s next on the market.

It’s also worth taking a look back at the previous year’s seasonal sales to see what worked, what didn’t, and where you can improve.

Solving for Seasonality

Equipped with the right data, brands are better equipped to navigate seasonal changes. For example, Salsify’s “2023 Consumer Research” reports that 64% of online shoppers encountered out-of-stock items when shopping over the last three months.

Seasonality often plays a role in these inventory issues; if brands don’t stock up before holiday rushes or post-season sales, they could find themselves losing customers.

There’s a reason for the season. Equipped with solid sales and customer insight andecommerce trend data, companies are better prepared to make the most of recurring seasonal shifts.

Ecommerce Seasonality 101 (1)

Ecommerce Seasonality 101 (2)

2023 Consumer Research Report

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Tag(s): Ecommerce GTM Strategy Ecommerce Marketing

Ecommerce Seasonality 101 (2024)

FAQs

Ecommerce Seasonality 101? ›

Ecommerce seasonality refers to recurring purchase patterns that occur every year. Holiday shopping is an easy example — in the United States, sales volumes pick up significantly in November with Black Friday and stay strong through post-Christmas sales.

What is the seasonality of e commerce? ›

E-commerce Seasonality Explained

It refers to the fluctuations in customer purchasing behaviour that occur throughout the year. During some periods of the year, sales are incredibly slow, whilst other periods are so busy businesses can hardly keep up with the demand.

What are the worst months for ecommerce? ›

While November and December, with events like Black Friday and Cyber Monday, are peak months for online sales, the summer months and post-holiday season in January and February are typically the slowest. However, with the right strategies, retailers can turn these slow months into opportunities.

What is the peak season for e-commerce? ›

Peak season for Amazon typically begins in late November, coinciding with events like Black Friday and Cyber Monday, which mark the start of the holiday shopping frenzy. This period extends through December, encompassing the lead-up to Christmas and the New Year.

Is February a slow month for ecommerce? ›

The slowest months for eCommerce are traditionally January and February.

What are the three types of seasonality? ›

There are three common seasonality types: yearly, monthly and weekly.

What is seasonality in Amazon? ›

A seasonal Amazon product is an item that experiences fluctuations in demand throughout the year, typically based on specific seasons, holidays, or events. For example, winter coats and gloves tend to sell more during the cold months, while swimsuits and beach gear are more prevalent during the summer.

What scares ecommerce business the most? ›

Let's get frightened, in an ecommerce way.
  • Fear #1. Platform complexity. ...
  • Fear #2. Poor performance. ...
  • Fear #3. Replatforming. ...
  • Fear #4. Payments issues. ...
  • Fear #5. Security issues. ...
  • Fear #6. Legal issues. ...
  • Fear #7. High return rates. ...
  • Fear #8. Inventory issues.
Oct 31, 2023

What is the toughest thing about ecommerce? ›

The Most Common Content Challenges of E-commerce
  • Managing product information at scale. ...
  • Sharing consistent product information across teams. ...
  • Product lifecycle inefficiencies. ...
  • Reducing cluttered digital assets. ...
  • Importing and exporting data. ...
  • Choosing the right digital commerce tech stack.
Dec 21, 2023

What is the slowest month for sales? ›

January and February are typically considered the slowest months for retail as consumers recover from holiday spending and focus on post-holiday savings.

Where ecommerce is growing fastest? ›

Here we examine the top 5 countries with the fastest growing ecommerce markets.
  1. Mexico. Mexico may not have been your first guess at the country to top this list. ...
  2. India. ...
  3. Philippines. ...
  4. China. ...
  5. Malaysia.

Does ecommerce slow down in the summer? ›

Statistically, the summer months generate the least amount of ecommerce sales, dipping by as much as 30% compared to December. Being able to determine the slower months for online sales for your business is half the battle.

How to do seasonal sales forecast for e-commerce? ›

Utilizing historical data and industry benchmarks

Historical data is a valuable resource for seasonal forecasting. Businesses should analyze past sales data, customer behavior, and market trends to identify seasonal patterns and make accurate forecasts.

Is E commerce declining? ›

US ecommerce growth continues to outpace total retail growth

Compared to both the prior quarter and the prior year's Q4, ecommerce sales slowed in Q4 2023. In Q3 2023, U.S. ecommerce sales grew 7.8%. That's closer to the growth rate in Q4 2022 (7.7%).

Why is September a slow month for business? ›

The customers you will serve during the fall and winter are all recouping from the summer themselves, so September tends to be one of the slower months.” The September kickstart gets the necessary organization underway to regroup and be prepared for the pick up in traffic.

Is ecommerce dropping? ›

According to the Global Retail E-commerce Forecast 2023 by Insider Intelligence, the sales growth of retail e-commerce will only increase by 8.9% this year. This is a significant decrease compared to the double-digit growth rates of 26.7% in 2020 and 16.8% in 2021, but it is up in 2022, which came in with 7.1% growth.

What is the seasonality of your business? ›

Key Takeaways. Seasonality refers to predictable changes that occur over a one-year period in a business or economy based on the seasons including calendar or commercial seasons.

What is seasonality examples? ›

By seasonality, we mean periodic fluctuations. For example, retail sales tend to peak for the Christmas season and then decline after the holidays. So time series of retail sales will typically show increasing sales from September through December and declining sales in January and February.

How to do seasonal sales forecast for e commerce? ›

Utilizing historical data and industry benchmarks

Historical data is a valuable resource for seasonal forecasting. Businesses should analyze past sales data, customer behavior, and market trends to identify seasonal patterns and make accurate forecasts.

What is seasonality of demand in business? ›

Seasonal demand refers to how buying trends of customers change throughout a certain period of the year. These trends are influenced by various environmental and political factors. The demand increases or decreases according to the needs of the customers, which also affects the price of goods.

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