What Are Americans Buying on Labor Day?

Pattern Data Science

August 26, 2021

Labor Day is usually seen as the last big “hurrah” of the summer. A time for Americans to go on one more camping trip or have friends and family over for a big backyard BBQ before the kids return to school and cooler weather sets in.

It’s also a weekend when Americans look to do some shopping. In 2018, Americans spent $2 billion online on Labor Day, stocking up on everything from furniture to clothing to appliances and more.

Last year, however, brought a different approach to Labor Day shopping. According to our previous research, for example, back to school items saw demand drop during Fall 2020 compared to 2019.

So we dove deep into our data to learn more about how COVID-19 impacted online demand for some of the categories most associated with Labor Day sales in 2020, how things are trending in 2021 so far, and what that might mean for the future.

Did major categories experience increased demand during Labor Day last year?

First things first, let’s take a look at online demand from 2020 through this summer in a handful of the categories most associated with Labor Day purchases to see if the holiday moves the needle.

We started by examining the online demand for those categories during the week of Labor Day and comparing it to the average weekly demand throughout the rest of 2020. Here’s what we found:

It seems that plenty of people turned to online shopping to get their hands on some non-white shoes last year. From our pool of categories, shoes got the biggest Labor Day bump with a 21% increase in demand compared to the typical week during the rest of the year.

Labor Day week was the 12th biggest week of the year for shoes, making it a solid holiday for shoe sales, but definitely not peak shoe season.

The same was true for most of the other categories we examined as well. Labor Day brought solid if not astonishing increases in online demand, usually around a 10% increase over the average week.

Only outdoor games and activities saw a dip in demand, as Labor Day weekend is most likely a holiday when people bust out the cornhole and bocce ball sets they bought during the spring for one final game of the summer.

For a clearer picture, here’s how 2021 looked for each of the above categories.

Most of these categories experience their largest increases in demand during the summertime. By the time Labor Day rolls around, demand is still above the annual average, but well below previous high points.

Furniture and patio furniture both experienced their high points during the late spring and early summer. Camping and hiking equipment saw demand at its highest from June through the end of August, while shoes experienced even more dramatic highs during that same timeframe.

Outdoor games and activities, meanwhile, saw demand spike in the weeks immediately following lockdown, as Americans were eager for new forms of at-home entertainment. Interestingly, this is the only of these categories where the holiday shopping season brought a substantial boost in demand.

Either way you look at it, though, Labor Day wasn’t a major driver of online demand. It could be that Americans were more eager to do some in-person Labor Day shopping last year after spending a significant portion of the year in lockdown, or it could be that Labor Day simply isn’t the online shopping holiday that others are.

Still, looking at these trends got us curious about how these categories are looking so far in 2021. Has the COVID-19 pandemic had long-lasting repercussions on demand for shoes or camping gear? And how might those trends impact demand during Labor Day weekend this year?

Online demand is up in 2021 for all categories in our analysis

Last year, the pandemic had a clear impact on demand for each of the categories in our analysis. Furniture, patio furniture, and outdoor games all saw demand spike at the start of lockdown as people found themselves stuck at home for the foreseeable future.

Both shoes and camping/hiking equipment saw demand drop in the initial weeks of lockdown, only to rebound in a big way later in the summer.

So how has 2021 compared so far? Is demand up even more as things have reopened? Has the delta variant surge over recent months had any impact?

Let’s start with a broad look by comparing all of 2021 so far to the same timeframe in 2020.

It looks like the more things reopened this year, the more Americans decided they needed a new pair of shoes to venture out in. Online demand for shoes is up a whopping 157% in 2021 so far compared to the same timeframe in 2020.

Each of the categories in our analysis has seen demand up in 2021, though. Online demand for outdoor games and activities has been up 10% in 2021, while each of the other categories has experienced a nearly 30% increase.

For an even clearer picture, let’s next compare monthly demand for the past three years for each of the above categories.

The first half of 2021 has seen a huge surge in online demand for shoes

Comparing monthly demand in 2021 to what we saw in 2020 and in 2019 will help paint a much clearer picture of how the long term effects of the pandemic have impacted consumer behavior. So let’s start with demand for shoes, which we in the previous section has been up big this year.

2021 saw online demand skyrocket in March, which during a pre-pandemic year was far from the height of shoe shopping season. Our best guess is that this may have been due to the initial rollouts of the vaccine, as more and more Americans began to venture back out after a year practicing social distancing.

After a brief dip in April, demand shot back up in May and has remained consistently high throughout the summer. We will definitely be keeping a closer eye on this category as the back to school shopping season closes and Labor Day weekend approaches.

Online demand for furniture and outdoor furniture was up in early 2021, returning to near 2020 levels

Now let’s take a look at online demand for both indoor and outdoor furniture.

During a pre-pandemic year, online demand for furniture was remarkably consistent. It rose slightly over the spring and summer, and was slower during the winter months.

In 2020 we saw a huge surge in online demand for furniture after millions of Americans spent a month or two isolating at home, many clearly decided to invest in some new furniture to spruce up their surroundings.

Interestingly, 2021 also saw a surge in online demand for furniture early in the year, this time in March. The driving force behind this one is less clear than in 2020. Perhaps people were preparing to host in-person gatherings at home.

Either way, demand in 2021 has remained above 2020 levels every month of the year so far, although at diminishing levels each month. Patio furniture and accessories have seen a very similar trend to their indoors counterparts.

As you’d expect, a normal year saw online demand for patio furniture peak even more during the summer months. This trend was particularly exaggerated in 2020, again, likely due to more Americans than ever spending almost all of their free time at home.

2021 has also seen online demand stay consistently higher than in 2020, particularly earlier in the spring. This may simply be due to people getting more used to making larger purchases online after last year, or it could be that even more people were interested in upgrading their backyard lounging situation to prepare for some huge post-lockdown parties.

Online demand for camping and hiking equipment continues to soar to new heights in 2021

Camping and hiking equipment may not have had the same kind of total increase in 2021 that shoes experienced, but there’s no question that Americans are venturing out in big numbers this year.

2020 saw demand dip somewhat during the first months of lockdown, but rebound to slightly above 2019 figures during the summertime. 2021, meanwhile, has been nothing but a consistent month-over-month increase in online demand for camping and hiking gear.

Our analysis of camping gear back in May showed early signs that 2021 was going to be a big year for the category, and that certainly hasn’t changed. In fact, August was the biggest month of the year for camping and outdoor gear back in 2019, so there’s no reason to believe that this month might be the biggest month for the category yet.

We’ll be keeping a close eye on each of these categories and more as the summer comes to a close and Labor Day weekend comes and goes.

A lesson for brands

Our data shows that Labor Day weekend may have only a moderate impact on online demand for key categories, but that COVID-19 has had a major impact.

Understanding the factors that influence consumer behavior can help brands better understand how to forecast demand for their products on online marketplaces, and even inform product design and marketing strategy.

For example, we may see Labor Day weekend continue to be a more modest weekend when it comes to online sales, as Americans have spent this past summer online shopping for new shoes and camping gear.

It could be, however, that last year was an anomaly, and that Labor Day weekend may drive a surge in online sales for some of these key categories.

To stay up to date on consumer behavior and ecommerce news, info, and trend analyses, be sure to subscribe to Pattern Insights on the right.

And, if you’d like to learn more about how you can best leverage our data to help your brand win online, holiday or not, schedule a demo today.

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Sept 27, 2022

Global Ecommerce Weekly News: 27th September 2022

Get up to date with this week's ecommerce headlines from around the globe. --- Amazon News --- Amazon drives renewable energy push with 71 new projects Amazon is planning to add 2.7 gigawatts of clean energy capacity through a couple of new projects as the company attempts to use 100% renewable energy by 2025. The ecommerce business will soon have a total of 329 renewable energy projects, generating 50,000 gigawatt hours of clean energy, which is equivalent to powering 4.6 million US homes every year. [Read more on Reuters](https://www.reuters.com/business/sustainable-business/amazon-drives-renewable-energy-push-with-71-new-projects-2022-09-21/) Amazon launches Prime Early Access Sale Amazon is launching a new 2-day shopping event for its Prime members only, beginning on the 11th of October. Across 15 countries, Prime customers will have access to the shopping event, with thousands of deals on offer globall, ranging from fashion to electronics to essentials. The event has the purpose of giving Prime users the chance to spread the cost of items over the winter months, 6 weeks ahead of Black Friday. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/26/prime-early-access-sale/) --- Other Marketplace News --- Shopify unveils new localisation tool Shopify is launching a new localisation tool, called Translate & Adapt, which works with Shopify Markets to offer localisation for sellers who are looking to expand into new markets. The tool translates a user’s online store into different languages, including product pages and information pages. Merchants are also able to create different shipping terms for each market using the new tool, which allows international expansion and offers a more localised consumer experience, unveiling new potential. [Read more on Ecommerce News](https://ecommercenews.eu/shopify-launches-new-localisation-tool/) Etsy is set to invest hundreds of millions into its marketing platform Etsy CEO claims that the company is on route to spend more than $570 million USD on marketing this year. Even during a time of macroeconomic pressure, inflation and rising interest rates, the company is preparing itself and its sellers for the upcoming holiday season and is focused on retaining interest from buyers. [Read more on Yahoo News](https://uk.news.yahoo.com/etsy-600-million-on-marketing-ceo-154054219.html) --- Other Ecommerce News --- Meta looks to cut costs by 10% in the coming months Meta employees are facing job redundancies as the company plans to cut its costs by 10% over the next few months. Meta reported a 22% YoY increase in costs and expenses, totalling over $20 billion USD. The cuts are expected to come in the form of job redundancies as a result of department reorganisations rather than formal layoffs. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/22/meta-to-slash-costs-by-10-over-coming-months/) DHL teams up with Quadient to offer smart locker deliveries in the UK DHL and tech company, Quadient, have partnered to offer smart lockers parcel pick-up throughout the UK. The new contactless, secure locker stations will give recipients more choice and flexibility to receive their parcels at a time and location best suited to them. The partnership plans to install 500 locker stations across the country by the end of 2022. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/21/dhl-partners-with-quadient-to-offer-smart-locker-delivery/) The online fashion market is set to be worth nearly $170 billion USD in 2025 The European online fashion retail market is set to grow 50% by 2025, with an online turnover of $170 billion USD, which is 33% of the retail branch’s total. Cross-border marketplaces prove to be the largest drivers of this growth, with online websites and apps like Vinted largely pushing the market’s online growth. Zalando recently became the largest cross-border fashion retailer/marketplace, responsible for 11.7% of the online market’s share. [Read more on Ecommerce News](https://ecommercenews.eu/online-fashion-market-worth-e175-billion-in-2025/)
Sept 26, 2022

Top 5 Ways to Prepare for Peak with Google Ads

Peak season is almost upon us and with all signs pointing to it starting earlier than ever, with Christmas gifting searches now ramping up in August and September, it’s time to start preparing for peak. In this article, we’re sharing our top five tips for planning and preparing for peak season with Google Ads and the strategies required to get your Paid Search ready so you can drive success over this crucial period.

1. Go Early

In 2021, gifting search terms started increasing in popularity in August. The general trend is that people are looking, researching and weighing their options early, so it’s best to start your Paid activity early to ensure that you’re capturing that early research traffic. This will help drive revenue alongside aiding those consumers who are in their research phase.

From 2020 to 2021, spend during Cyber Week actually only rose 2% but in the weeks leading up to it, it increased by 16%. However, Cyber Week is still the biggest period during the latter half of the year, accounting for 23% of all online spend by consumers over peak. Being prepared and starting early will help you to maximise your time during this period.

2. Get Ready for Privacy Changes

 According to Google, 48% of global consumers have stopped buying or using a service due to privacy concerns. Privacy is front of mind when consumers are shopping online and we know that Google is phasing out 3rd party cookies in 2023. This is going to make it much harder to track users online and it’s something that brands need to think about this now – waiting isn’t an option.

From a Google Ads point of view, you want to ensure you have set up the Google Ads tag across your site and have enabled ‘Enhanced Conversions’, which ensures all conversions are tracked and allows you to monitor other actions such as ‘Add to Cart.’ This is relatively easy to set up, especially if you use ‘Google Tag Manager’.

It’s also vitally important that you build up your first-party data during this time as this is data you own and it can be used when targeting consumers that have provided your brand with their email address. Pattern’s own experience shows that by segmenting and using first-party data, you can see a 10% improvement in revenue and ROI.

3. Ensure Consumers Can Discover your Brand

A full-funnel approach is now more important than ever as consumers become more discerning and have more choices than ever of where to shop.

Pattern has seen success with Google Ads’ ‘Discovery Campaigns’ (image-based ads that appear on Google platforms such as Gmail and the Google app), which have driven success both from a traffic and revenue perspective.

The performance of these campaigns is significantly enhanced by adopting a segmented and nuanced approach to first-party data and incorporating these into your campaigns. Other options for a full-funnel approach include YouTube and testing bidding on keywords that are more representative of the research phase. (e.g. ‘best baby clothes’ for a baby clothes brand)

4. Get Moving with Performance Max

Earlier this year, Google announced that they were moving away from Smart Shopping and launched Performance Max. This is a new campaign type that incorporates features and placements from Smart Shopping but expands them onto other platforms such as Gmail but also alternative creative options, such as images and videos.

Since Google has already started automatically upgrading Smart Shopping campaigns to Performance Max, expect to see some fluctuations in the first 2 weeks following the switch over but results generally seem positive. We recommend upgrading sooner rather than later to limit any potential impact to peak period.

5. Flight Budgets Accordingly

Peak period will be even more competitive than in 2021 and you’ll need your budgets to support this period, we recommend boosting budgets in October to start capturing that early peak traffic. As we enter November and the Cyber Period, start early and make sure you are capturing those consumers looking for early bargains, ensuring you are being nimble in your optimisations and reacting to the data that you are seeing.

Overall, peak period is vital to help drive your sales and by preparing early, you will see strong results and drive success for your brand. If you want to discuss how your brand can navigate this next peak period, contact us to discuss your options with our performance team now.

Sept 20, 2022

4 Ecommerce Marketplace Consultant Must-Haves

Entering the ecommerce landscape is a huge undertaking for any brand—it usually requires a large investment in resources and expertise to really be successful. Any brand can quickly get in over their heads trying to navigate the nuances of SEO, fulfillment and logistics, distribution control, listing optimization, and meeting the numerous other requirements and administrative tasks to show up well on marketplaces. 

Unfortunately, because it’s so easy for third party, gray market, and unauthorized sellers to obtain and sell products online, many brands find themselves pressured to execute an ecommerce plan without the right resources to succeed on marketplaces and their other channels.

So, for brands looking to enter the ecommerce space or improve their current and future performance, it makes sense to partner with an ecommerce consultant.

Pattern’s global presence and proven success with hundreds of brands has allowed us to develop highly effective ecommerce consulting services. We can guide your brand to navigate issues both large and small in marketplaces worldwide. To maximize your ecommerce efforts, you’ll need to understand what an ecommerce consultant does and how to select one who drives the right value for your brand and products. 

What is an Ecommerce Consultant?

An ecommerce consultant is a specialist in the ecommerce space who can give you personalized guidance on how to market your products and grow their presence on digital marketplaces.

An ecommerce consultant should be able to analyze your brand, audience, category, opportunity, and current roadblocks and help you understand how to utilize your resources (or what resources are missing) to be most effective in capturing your opportunities in the ecommerce space.

Not sure how to evaluate a consultant? Here are 4 key attributes to look for as you make your choice.

1. Brand Obsession/Specialization/Passion

At Pattern, we prioritize brand obsession for a reason—we know that a brand-centered mindset makes a crucial difference in the outcomes and results our partners achieve. So in our experience, when you begin your search for an ecommerce consultant, it’s important to look for a partner who is specialized in ecommerce, invested in the product, and passionate about helping brands build and improve their strategies. Typically, this means finding someone that consults exclusively for ecommerce marketplaces, rather than choosing a consultant who offers many different services. 

2. Proven Results

It’s also important to avoid choosing a consulting partner who can’t deliver the right experience for your brand. The best indication of whether your potential consultant can do that is to review their history, data, and results with other brands. Ask if they’ve helped others in your selling category, if they’ve solved specific issues your brand is facing, and why they feel you are a good fit. The key is to leave the conversation feeling confident that you understand your consultants’ capabilities and whether or not they match up with your needs.

3. Wide Range of Marketplace Expertise

It’s best to pick a consultant who knows how to guide a brand onto and through multiple marketplaces worldwide. You’ll want to take a look at your long-term strategy and think about the regions and platforms you’re currently on and where you might want to take your brand in the future. If your consultant is truly great at what they do, they’ll be able to help you perform well enough with your current product roadmap that it’ll be a no-brainer to expand your presence at the right time.

4. Network of Resources

The most effective partnership with an ecommerce consultant will be able to give you both recommendations and point you to solutions for making those changes in your planning, processes, and execution. Your time and money is valuable, so you want to make sure that you’re spending it as efficiently as possible as you follow your consultant’s advice. So, before you commit to an ecommerce consultant, ask about the resources and concrete solutions they typically recommend to the brands they work with.

Achieve Your Ecommerce Goals With Pattern

Finding an ecommerce consultant that checks the boxes can be a difficult task. At Pattern, our entire focus and drive centers around giving brands the tools and resources they need to succeed on domestic and international ecommerce marketplaces. 

With over 100 global ecommerce consultants across 10 global offices, we have the right tools to partner with brands across the world to achieve better ecommerce success. We give specialized advice, then make sure our partners have all the adequate SEO, social media, CRM, Amazon multi-channel fulfillment services, and ecommerce outsourcing services they need.

Interested in ecommerce consulting services? Set up a call here to learn what Pattern can do for your brand on global marketplaces.