Episode Summary: Ep 466 - Are You Ready for "Super Saturday?" Notes on Google's Holiday Trends Indicate BFCM Isn't Over! | AKNF

Podcast: DTC Podcast
Host: Eric Dick
Guest: Dougie from Pilot House's Google Team
Release Date: December 20, 2024

Introduction

In Episode 466 of the DTC Podcast, host Eric Dick engages in an insightful conversation with Dougie from Pilot House's Google team. The episode delves into Google's recent analysis of the Black Friday Cyber Monday (BFCM) period, introduces the concept of "Super Saturday," and explores emerging trends and strategies in the e-commerce landscape as the holiday season progresses.

Key Topics Discussed

1. Google's Recap on BFCM and Introduction of Super 5

Timestamp [00:00 - 01:15]

Dougie opens the discussion by highlighting Google's recap of the BFCM period and the introduction of "Super 5"—the five days leading up to Christmas. This segment sets the stage for understanding the overall e-commerce performance during these critical shopping periods.

Notable Quote:
"Google sent through a bit of a recap on Black Friday Cyber Monday and also Ford looking into what they're calling Super 5, the five days leading up to Christmas." [00:00]

2. E-Commerce Performance During Cyber5

Timestamp [01:12 - 02:15]

Dougie reveals that e-commerce saw an 8% increase during the Cyber5 period, contrasting with stagnant in-store retail, which held flat year-over-year. Despite a decrease of 3 million Cyber5 purchasers compared to the previous year, higher spending per shopper compensated for the decline in volume.

Notable Quote:
"Overall E Comm was up about 8% on Black Friday Cyber Monday through that Cyber 5 period." [01:43]

3. Impact of Canada Post Strike on Canadian E-Commerce

Timestamp [02:39 - 04:21]

A significant focus is placed on the Canadian market, where a strike at Canada Post disrupted shipping logistics. Pilot House adapted by shifting campaign messaging from deals and discounts to emphasizing reliable shipping alternatives, resulting in stronger ad performance.

Notable Quote:
"We actually pivoted a lot of messaging away from deal focused, savings focused and to shipping focused... and that actually had stronger ad performance than our ads that were calling out percentages off." [03:30]

4. Performance Max as an Ad Tool

Timestamp [04:21 - 05:04]

The discussion transitions to Google's Performance Max (PMAX) ad tool. Pilot House increased their use of PMAX by approximately 10% year-over-year, aligning with broader strategic goals developed over the year. Dougie advises against launching PMAX campaigns abruptly, emphasizing the importance of gradual integration.

Notable Quote:
"It was about what we've been kind of building up to this point throughout the year on." [04:29]

5. Utilizing YouTube for Demand Generation

Timestamp [05:04 - 06:27]

Eric and Dougie explore the role of YouTube in driving brand awareness beyond demand capture. While search and shopping campaigns effectively track direct sales, YouTube's demand generation efforts require more nuanced data analysis and longer time horizons. Retargeting on YouTube proved beneficial during Cyber5.

Notable Quote:
"The trickiness is kind of feeding that data back and analyzing stuff for spend that doesn't have purchases rallied behind it." [05:37]

6. Introduction of Super Saturday and Extended Holiday Period

Timestamp [06:27 - 10:47]

Dougie introduces "Super Saturday," the Saturday leading up to Christmas, projected to see 250% growth year-over-year. This extension of the holiday shopping period is fueled by a later start to holiday shopping due to a delayed American Thanksgiving. Google emphasizes the significance of the Super 5 period, highlighting that as of December 4, only half of Americans had completed their holiday shopping.

Notable Quote:
"Google is projecting about 250% growth on that Super Saturday year on year because of the differences in where holidays have ended and consumer intent leading up to it." [07:32]

7. Competitive Landscape and Cost Per Clicks (CPC) Trends

Timestamp [08:49 - 10:47]

The conversation shifts to the competitive dynamics of the holiday season. While CPCs increased during BFCM as expected, they are projected to decrease by about 25% as Christmas approaches. Additionally, there is a notable trend towards in-store pickups, with 35-40% of online orders utilizing this option in the final days before Christmas. This underscores the importance of an omnichannel strategy for e-commerce brands.

Notable Quote:
"CPCS during Black Friday Cyber 5 up as per usual... but CPC is coming down closer to Christmas as we would expect after Christmas as well." [09:01]

8. Strategies for Super Saturday

Timestamp [10:47 - 12:46]

Dougie outlines strategic adjustments for leveraging Super Saturday. Emphasis is placed on shipping convenience, last-minute gift options like gift cards, and integrating in-store pickup options. Messaging is tailored to highlight ease of purchase and reliability of delivery, rather than just product values or discounts.

Notable Quote:
"Shipping convenience is super important for these last minute holiday shoppers... making it really easy for them to purchase." [11:01]

9. Gifting-Centric Campaigns

Timestamp [12:14 - 12:46]

The importance of incorporating gifting language into marketing campaigns is discussed. While certain niches like toys naturally align with gift-oriented messaging, Pilot House ensures that most campaigns subtly incorporate themes of gifting to resonate with holiday purchase intent.

Notable Quote:
"Across the board for the most part we are permeating gifting messaging into our campaigns." [12:14]

10. Retailers' Focus on Same-Day Pickup and Delivery

Timestamp [13:47 - 14:46]

Dougie highlights major retailers like Target and Walmart's initiatives to offer same-day pickup and delivery up to 6 PM on Christmas Eve. This customer-centric approach aims to capture last-minute shoppers and emphasizes the necessity for e-commerce brands to enhance their shipping flexibility and convenience.

Notable Quote:
"Target and Walmart are huge players in the market... trying to eke out as much of that potential for those last minute holiday shoppers as possible." [13:47]

11. Brief Discussion on Quantum Computing

Timestamp [14:46 - 15:59]

In a lighthearted shift, Eric introduces the topic of Google's new quantum computer chip, "Willow." While Dougie admits to being unfamiliar, the discussion touches on the potential disruptive impact of quantum computing and AI on the tech industry.

Notable Quote:
"It's going to. That along with AI will have us all kicking up on a beach somewhere, I think, at some point." [14:57]

Insights and Conclusions

• E-Commerce Growth: The sustained 8% growth in e-commerce during Cyber5 underscores the ongoing shift from in-store to online shopping, a trend further amplified by external factors like the Canada Post strike.

• Extended Holiday Shopping Period: The introduction of Super Saturday indicates that the holiday shopping season is becoming more extended, with significant opportunities for brands to capture last-minute sales.

• Strategic Advertising: Leveraging tools like Performance Max and platforms like YouTube for demand generation can enhance brand visibility and drive sales, though they require careful data analysis and long-term investment.

• Omnichannel Integration: The rise in in-store pickups for online orders highlights the importance of integrating online and offline channels to meet consumer preferences for convenience and flexibility.

• Adaptable Messaging: Shifting marketing focus from discounts to shipping reliability and convenience can lead to better ad performance, especially in markets facing logistical challenges.

• Future Technologies: Emerging technologies like quantum computing may soon play a role in the marketing and e-commerce landscape, presenting both opportunities and challenges for brands.

Final Thoughts

As the holiday season continues to evolve, e-commerce brands must adapt to changing consumer behaviors and leverage data-driven strategies to maximize their sales opportunities. By emphasizing convenience, integrating omnichannel solutions, and utilizing advanced advertising tools, brands can effectively navigate the extended shopping period leading up to Christmas and capitalize on the momentum of Super Saturday.

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