July 12, 2022
How Does Weather Affect Retail Sales?
The heat this summer has surely been a force to be reckoned with! Many of us find ourselves on the fence if we should stay indoors or spend time outside on these scorching hot days. Believe it or not, the weather isn’t just affecting your day plans – it is also affecting the way you spend your money. As a result, it is making a great impact on sales and even the pricing of goods and services for retailers.
While it often goes unnoticed, customer foot traffic to brick-and-mortar establishments constantly goes through periods of highs and lows throughout the year – “summer slump” is a real thing! The weather and seasonal trends play a significant role in how and what consumers are purchasing during a specific time. These factors alone demonstrate the purchasing power of buyers and the fact that consumer behavior influences the pricing of goods for retailers.
One major cause of a drop in foot traffic and sales during the summer months is people preferring to stay home when they deem it to be too hot outside. Now, this does not mean they will not shop – some may turn to online shopping instead. Similar to when there is an influx in rainy or snowy weather, online retailers see spikes in sales when it is very hot.
Another aspect that influences consumer behavior in the warmer months is how the heat affects our mood. Studies show that temperature, amount of sunlight, and humidity are some factors that can impact consumers’ emotions and change how they may spend their money. While sunlight itself may uplift an individual’s mood, the discomfort of high temperatures and humidity can cause the latter effect.
It is important to note that not all physical retailers have to suffer during these times. There are strategies you can use to mitigate the decreases in sales and foot traffic as well as influence consumer behavior to act in favor of your business.
Taking advantage of promotions and advertising products that consumers see as a summer necessity can help drive sales. You can also use the summer holidays as a good time for markdowns and sales. Fourth of July and Labor Day are great opportunities to build summer marketing strategies.
Lastly, lean on your pre-existing customer following as a resource. You will likely have more success rallying those that are already loyal customers of your business than trying to encourage new prospects to come to your store. Use social media to entice your existing customers to visit your location.
The effect weather has on consumer behavior and buyer decisions sheds light on the value of observing your demographics and being in tune with the community your business calls home. Knowing your target market and being aware of how you can meet their needs and fulfill their desires can help you build a more successful business.