We compiled these trends from over 100 brands, comparing year-over-year data for the date range May 1, 2024, to May 31, 2024.
May 2024: Embracing the Summer Slowdown
Despite economic challenges like inflation, consumer engagement remains strong, supporting our positive outlook for 2024. While we expect a temporary slowdown in the economy, there are still consistent growth opportunities across various sectors.
While apparel demand remains vigorous, demand in other sectors appears relatively stagnant compared to the previous year. Nonetheless, all sectors witnessed a notable uptick in consumer engagement throughout May.
The surge in sessions underscores heightened consumer interest, yet the decline in demand and orders suggests possible financial constraints or economic uncertainties tempering purchasing intentions.
May 2024 Marketing Trends
Trend #1: 2024 Economic Horizon: The Road Ahead: Jobs, Inflation, and the Fed’s Impact
The U.S. economic future relies on job growth, inflation trends, and Federal Reserve actions. Though inflation rose earlier in 2024, it’s expected to be short-lived, mainly affecting services. Year-over-year inflation is forecasted to ease to 2.2% by December, in line with Fed targets. The anticipated Fed interest rate cut, initially set for July, is now delayed due to data-driven factors. While consumer spending has slowed, retail sales remain strong, especially in services. Shoppers persist in spending despite slower job and wage growth and higher interest rates. Despite rising household debt, manageable levels and increasing incomes suggest ongoing economic stability.
The April 2024 Consumer Price Index (CPI) report showed a modest 0.3% month-over-month (MoM) increase and a 3.4% year-over-year (YOY) rise, falling below expectations. This easing in inflation was driven by smaller gains in services costs, such as food services, which offset the continued steep increases in rent and gasoline prices. Although we’re not yet back on track to the Federal Reserve’s 2% target, there’s still progress being made. This progress could pave the way for policymakers to consider their first rate cut toward the year’s end. Our strategists maintain their expectation that the Fed will initiate interest rate cuts later in the year, echoing Powell’s sentiments expressed at the May Federal Market Committee (FOMC) meeting.
Read more on JPMorgan, National Retail Federation, & US Census Bureau
Trend #2: Leverage the Power of Scent with Direct Mail
Integrating scent into direct mail campaigns can significantly boost engagement and memory retention. This multisensory marketing tactic leverages the strong connection between scents and emotions, making advertisements more memorable and impactful. Modern techniques, like scented inks, can be applied directly to mail pieces, evolving from the traditional scratch-and-sniff approach.
Adding custom-scented peel-off labels helps campaigns stand out, offering a unique and interactive experience that can lead to higher response rates. This method is especially effective for perfumes and scented candles, where fragrance is critical.
Including scents in direct mail encourages recipients to interact longer with the mail piece. When they peel off a scented label, they engage more actively, increasing the chances of a positive reaction and purchase intent. Additionally, this strategy can evoke nostalgia, or specific emotions tied to various fragrances, fostering a personalized connection with your brand.
Read more on Pel Hughes
Trend #3: Brands Offering Customers Option to Opt-Out of Mother’s and Father’s Day Messages
There are small ways brands can be more human when it matters most to their customers. Acknowledging that some people may find certain holidays uncomfortable shows consideration by offering their customers a choice.
Reddit user u/MollyScribbles writes, “Speaking as someone whose father died a few years ago, when I see a Father’s Day promo with something my father would’ve liked, it only gives me a painful realization that I’ll never be able to give him something again. I’m grateful for the opt-out.”
Levi’s, DoorDash, Ancestry, Kay Jewelers, Etsy and Canva, are among those that have jumped on the trend in recent years.
The tactic has its detractors, however, who frame it as an attack on families.
It is a simple yet impactful way for these brands to show their humanity; people, thinking about people.
Trend #4: Striking with Urgency when the Opportunity Arises
When Minnesota Timberwolves player Ant Edwards interviewed Charles Barkley after an NBA Western Conference final win, Charles commented that he hadn’t been to Minnesota in 20 years. Edwards responded with ‘Bring ya ass.’ The Minnesota Department of Tourism responded with lightning speed, purchasing the URL ‘bringyaass.com’ and redirecting it to exploreminnesota.com. On that page? ‘10 reasons to Bring Ya A** to Minnesota’.
As a result of this success, Minnesota Tourism’s website more than doubled, merchandise was created, and further team collaborations were discussed.
What a great example of a brand staying relevant by paying attention and acting quickly to create something people will remember. Sometimes, the best marketing campaigns are right in front of us if we can act quickly.
Read more on Front Office Sports
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Marketing KPIs: May 2024 Trends by Industry
Marketing KPIs: May 2024 Trends by Company Revenue
$100M+ | $15M-$100M | $0-$15M
Marketing KPIs: May 2024 Trends by Industry
Apparel Industry Thrives
• Demand Increased +13.7%: Demand growth outpaced the increase in orders and sessions for May. Apparel brands continue to experience notable increases in demand, primarily attributed to their effective strategies in driving higher average order values.
• Orders Increased +7.9%: The robust conversion rates in May indicate that consumers are eagerly preparing for the warmer months, demonstrating sustained enthusiasm for apparel.
• Sessions Increased +11.1%: The notable increase in web traffic showcases the sustained consumer interest in apparel, coupled with effective marketing strategies.
Home Brands Hold Steady with Slight Dip
• Demand Decreased -4.7%: Home retailers saw a slight dip in orders, but the marginally higher average order values compared to last year helped cushion the impact. This resulted in a slight decrease in demand compared to last May.
• Orders Decreased -4.2%: In May, home brands witnessed a slight dip in orders, hinting at potential conversion challenges or seasonal fluctuations. As we approach the fall holiday season, brands should reassess their strategies to adapt and thrive.
• Sessions Increased +4.7%: The subtle uptick in sessions signals a boost in customer engagement. Looking ahead, home brands should prioritize ramping up their acquisition strategies in preparation for the upcoming Fall/Holiday season.
Outdoor Brands Pause Amidst Peak Customer Interest
• Demand Decreased -11.0%: Even amidst heightened interest in numerous outdoor brands, the drop in orders and demand hints at potential budget constraints or economic uncertainties, resulting in fewer actual consumer purchases.
• Orders Decreased -9.3%: The drop in orders may stem from conversion hurdles influenced by evolving consumer behaviors or economic climates. Outdoor brands are urged to leverage retargeting initiatives to propel their performance to greater heights.
• Sessions Increased +14.0%: The upsurge in sessions reflects enduring consumer enthusiasm for outdoor products despite continued conversion challenges. May’s results echo the ongoing narrative of diminishing demand yet highlight the heightened engagement among numerous outdoor brands.
Specialty Retailers Grapple with Conversion Hurdles
• Demand Decreased -5.5%: Despite a notable drop in orders among specialty retailers, the impact was softened by consistently high average order values, keeping demand slightly lower than last May.
• Orders Decreased -10.6%: The drop in May orders suggests shifting consumer priorities, conversion challenges, or economic changes. Specialty brands should investigate these factors to develop targeted improvement strategies.
• Sessions Increased +1.4%: Specialty brands maintained steady session numbers compared to May last year. Anticipate promising outcomes by refining acquisition and retention tactics.
Marketing KPIs: May 2024 Trends by Company Revenue
Tier 1 Brands: High Engagement, Low Conversions
• Demand Decreased -5.2%: Comparing year-over-year data, demand has slightly dipped. Tier 1 brands have a golden opportunity to elevate their performance by delving into fresh acquisition strategies.
• Orders Decreased -7.1%: In May, a subtle drop in orders had a ripple effect on conversion rates, signaling minimal growth despite the uptick in sessions.
• Sessions Increased +7.2%: Year-over-year for May, there was a modest increase in session volumes, indicating heightened customer engagement. However, the concurrent decrease in orders and demand suggests the presence of underlying factors potentially influencing conversion rates.
Tier 2 Brands: Remain Flat
• Demand Decreased -0.3%: Tier 2 brands witnessed a gentle dip in demand from the previous year, signaling a slight downturn in overall customer expenditure.
• Orders Down -0.7%: Despite consistent session numbers in May, conversion rates remained stagnant. To invigorate sales, brands should consider implementing supplementary retargeting initiatives tailored to browsing or cart abandonment.
• Sessions Increased +2.9%: Several Tier 2 brands sustained consistent traffic levels in May. This emphasizes the importance of closely monitoring customer engagement and enhancing acquisition strategies in the upcoming months, particularly as the fall holiday season approaches.
Tier 3 Brands: Strong Engagement, Yet Performance Continues to Experience Decline
• Demand Grew +2.0%: Tier 3 brands increased by +2.0%, reflecting growing consumer interest amid concerns about rising prices and inflationary pressures.
• Orders Down -2.2%: The drop in orders and the rise in sessions implies undiscovered opportunities. While it might indicate steady consumer behavior or market demand, it could also unveil a growth plateau or challenges in maximizing sales despite increased website traffic and customer interest.
• Sessions Increased +15.4%: The increase in sessions demonstrates heightened customer engagement. However, compared to last May, stagnant demand and orders imply challenges in converting interest into sales. It’s essential for Tier 3 brands to investigate the barriers hindering this conversion.
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Logo Evolution or Logo No Go?
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Google Analytics 4 Migration
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Tags: March 2024 Benchmarks, March 2024 KPI, March 2024 Marketing Trends