The holiday season is the end of the year exam! How do sellers in the US market plan to “score”?

For cross-border e-commerce sellers in the US market, the holiday shopping season in the second half of each year is a big business opportunity. If you are not prepared in advance, the surge in orders in the short term may have a significant impact on your business operations.

It is learned that due to inflation and continuous promotional activities, Americans may spend less during the holiday shopping season this year. At the same time, advertising costs in the e-commerce market usually increase during this season as more sellers join the competition for traffic.

Competition is more intense and consumption is more unpredictable

McLean-Foreman, founder of Teikametrics, found that the advertising budgets of US e-commerce sellers during the holiday shopping season have hardly decreased, and with strong consumer demand in certain categories, competition will be more intense. He predicts that the average advertising cost this year will be higher than in previous holiday seasons.

“If consumer spending continues to be resilient at Amazon and Walmart, we may see ad spending continue to follow a similar trend,” McLean-Foreman said.

Additionally, spending trends during the U.S. holiday shopping season are more unpredictable than ever.

“It’s difficult to predict where macro-level consumer spending (and the economy as a whole) will be concentrated in the second half of the year, but it’s a safe bet that economic uncertainty will have some degree of impact on what people buy and how much they spend,” Foreman said.

Overall, U.S. e-commerce sellers will see increased advertising costs, more intense competition, and be prepared for significant changes in what consumers buy and how much they spend during this holiday shopping season.

"Amazon + Walmart" walks on two legs

Teikametrics also said that as costs and competition on Amazon rise, thousands of Amazon sellers are turning to a multi-channel driven model. As the second largest and fastest growing marketplace in the United States, Walmart has become the preferred choice for these sellers.

McLean-Foreman noted that Walmart has been investing in its marketplace and advertising platform, and that there is less competition relative to the number of buyers than Amazon. In addition, Walmart's physical stores create unique opportunities for sales and advertising.

As the Amazon market gradually becomes saturated, more and more sellers are looking for new ways to break through. The survival battlefield for cross-border sellers in the United States is also changing, and the competition for consumer groups is becoming more intense.

Editor✎ Ashley/

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