Red Points, a New York-based technology company, reports in a recent study that it’s “imperative for brands to approach Black Friday and the 2020 holiday shopping season with heightened awareness of illegitimate sellers infiltrating trusted e-commerce channels and threats of counterfeits — as these risks are substantially higher for online shopping, as compared to brick-and-mortar retail.”
And because of the expected increase in online holiday shopping this year, the risks of counterfeiting will only be higher. “Amid a global health crisis, shoppers have reasons to avoid jam-packed stores and crowds — but still expect to snag deeply discounted merchandise,” according to the report. “With the expected domination of online shopping this holiday, retailers must take all precautions necessary to safeguard their brand reputation throughout Q4.”
Daniel Shapiro, vice president of strategic partnerships and brand relationships for Red Points, said ensuring brand protection is essential to protecting retailers’ bottom lines this holiday shopping season, especially at a time when businesses are looking to recoup recent losses.
“Many shoppers are feeling financial strain induced by the pandemic,” Shapiro added. “As a result, consumers will be more budget conscious this year, making it more likely they’ll turn to counterfeiters — which can be devastating for brands.”
Red Points’ following findings illustrate how online shopping continues to grow significantly and what this means for brands going forward:
• 65% of shoppers are likely to spend more online for Black Friday this year than the previous year.
• Shoppers are planning to spend an average of $289 online on Black Friday this year.• 70% are planning on shopping at online marketplaces (i.e., Amazon and eBay).
• 28% say price is the most important factor in making online purchase decisions.
• 57% of shoppers are looking to buy clothes and accessories, 25% tech and electronics and 22% toys and games.
Read the full article in Retail & Hospitality HUB.