Avoiding Greenwashing

How to build impactful, sustainable strategies through product experiences

Learn MoreLearn MoreLearn More
Akeneo-Logo Akeneo-Logo
Trending

Jan 13, 2025

4 Key Takeaways From the 2024 Holiday Shopping Season

The 2024 holiday shopping season broke records, with nearly $242 billion in spending and big shifts in how customers shop. Whether you’re looking to refine your promotional strategies, leverage AI for personalization, or tackle the returns problem head-on, these insights provide a roadmap for thriving in 2025 and beyond.

Keywords

Artificial intelligence (AI)
eCommerce
Holiday Shopping
Product Experience
Reducing Returns
Retail Trends

Picture this: It’s Christmas morning, and your family gathers around the tree. Gifts are unwrapped, coffees are in hands, and the excitement fills the room. Some presents are perfect — the exact item someone hinted at months ago. Others, well, might find their way back to the store before New Year’s Eve. 

This scene plays out in millions of homes across the globe every holiday season, but behind the magic of gift-giving lies months of preparation by brands and retailers striving to meet and exceed customer expectations.

The 2024 holiday season saw shoppers spending nearly $242 billion, an 8.7% increase from last year. Other than record spending, this growth reveals how consumer habits are evolving and how brands are responding. From hunting down deals to embracing the latest tech, this year revealed some major shifts in consumer behavior and retail trends. For brands, these insights offer a golden opportunity to refine their strategies and get ahead for the year ahead. So, let’s unwrap the biggest takeaways from the season and see how they can help you shine brighter in 2025!

1. Promotions & discounts are crucial

Promotions remained a major driver of holiday spending, with Black Friday and Cyber Monday once again dominating the shopping calendar. This year, spending on these two key days soared to $24 billion, up from $22 billion in 2023.

Shoppers continue to hunt for deals, and brands that leaned into strategic promotions reaped the rewards. The most successful retailers didn’t just offer blanket discounts; they used targeted promotions to capture their audience’s attention. Data-driven strategies allowed them to personalize offers based on past purchases, preferences, and shopping behaviors.

For 2025, brands should focus on creating tailored promotional campaigns that speak directly to their customers' needs. Integrating AI-driven insights into these strategies can help pinpoint what resonates most with shoppers, ensuring every discount maximizes ROI.

2. Mobile shopping continues to grow

Mobile shopping reached new heights in 2024, solidifying its place as the preferred channel for many consumers. This season, mobile accounted for a record 54.5% of online shopping revenue, with its peak on Christmas Day, when 65% of online sales came from mobile devices.

What’s driving this surge? The seamless experience provided by optimized mobile apps and websites. Retailers that invested in mobile-first design, fast loading times, and user-friendly interfaces were better positioned to capitalize on this trend. Social commerce also continues to play a significant role, with platforms like TikTok Shop and Instagram contributing to 20% of global holiday sales.

In 2025 and beyond, prioritizing mobile as part of your omnichannel strategy by refining mobile checkout processes, leveraging in-app shopping experiences, and utilizing social media platforms can drive engagement and conversions.

3 Trends for the 2024 Holiday Shopping Season

3. Embracing AI is a requirement to meet customer expectations

AI played a starring role in the 2024 holiday shopping season, influencing $229 billion in global online sales. From personalized product recommendations to targeted offers and conversational customer service, AI enhanced nearly every aspect of the customer journey.

Consumers’ reliance on AI-powered tools surged by 42% compared to 2023, particularly for customer service interactions. AI-driven chatbots and virtual assistants helped shoppers find answers quickly, resolve issues efficiently, and navigate the holiday frenzy with ease.

For businesses, the message is clear: AI is no longer a “nice to have” but a necessity. Brands that want to stay competitive must invest in AI technologies that enhance customer experiences, streamline operations, and improve decision-making. Whether it’s deploying advanced recommendation engines, creating predictive inventory models, or refining customer support systems, AI offers endless opportunities to meet and exceed customer expectations.

4. Returns are on the rise

As holiday sales climbed, so did returns. In 2024, global returns reached an eye-popping $122 billion, a 28% increase from last year. This spike was driven in part by trending consumer behaviors like “try-on hauls” and bracketing, where shoppers buy multiple sizes or variations of a product to try at home and return the rest.

For retailers, the cost of handling returns has become a significant challenge. From shipping and processing expenses to lost revenue and potential environmental impact, the growing volume of returns poses both logistical and financial hurdles.

To address this, brands need to focus on strategies that reduce returns without compromising the shopping experience. Enhanced product information, including detailed descriptions, accurate sizing guides, and high-quality images, can help customers make more informed decisions. Additionally, AI tools can predict and flag potential return risks, enabling retailers to proactively address concerns.

Turning Insights into Growth for 2025 and Beyond

The 2024 holiday shopping season was a clear snapshot of how shopping behavior is evolving. Consumers want personalized experiences, seamless technology, and convenience across every touchpoint. They’re influenced by mobile-first strategies, expect AI-driven support, and are navigating the balance between convenience and sustainability. For brands, these trends highlight both challenges and opportunities; and those that adapt will come out on top.

These trends also reveal something larger about today’s shoppers: they’re tech-savvy, value-conscious, and driven by convenience — but they’re also demanding authenticity and accountability from the brands they support. To succeed in this shifting landscape, businesses must stay agile, listen to their customers, and embrace innovation that enhances the shopping experience.

The 2024 holiday season was a record-breaking one, but it’s also a reminder that retail never stands still. By using these lessons to refine your strategies, you can position your brand for long-term growth, stronger customer relationships, and an even more successful 2025.

2024 Holiday Shopping Season Guide

From omnichannel optimization to sustainability-driven purchases, discover how to maximize holiday sales and minimize the dreaded post-holiday return season.

Casey Paxton, Content Marketing Manager

Akeneo

Continue Reading...

Jan 10, 2025 6 min to read

The Trends Shaping PIM: Building a Scalable and Transparent Product Ecosystem

Discover how Akeneo empowers brands to build flexible, scalable ecosystems that enhance product data management, streamline operations, and deliver...

Read more

Jan 06, 2025

Why Master Data Management Should Be Included in Your Master Plan

Learn how Master Data Management (MDM) helps to provide a strong foundation for enterprises, driving growth and scalability by centralizing master...

Read more

Dec 24, 2024 6 min to read

12 Must-Read Akeneo Bylines From 2024

Dive into Akeneo's most impactful bylines of 2024, where industry leaders share their expertise on navigating the ever-evolving retail and eCommerce...

Read more

Join the Akeneo community!

Sign up for our newsletter and stay ahead of the curve on everything you need to know about product information management, product experience management and how to unlock growth for your organization.