'Dayketing' has prompted a 450% increase in Spanish spending in the last six years
- The Sixth Bankintercard Report shows that female spending is experiencing the strongest growth on these major shopping days, although men spend the most, to the extent of tripling the amount spent by women.
- Prime Day, the 'dayketing' event held today, 12 July, has prompted a vast surge in spending in the last six years; from 2016 to 2021 it drove a 450% growth on Amazon and we estimate that in 2022 it will continue to rise and reach a cumulative growth of between 500% and 550%. .
'Dayketing' is a marketing strategy whereby corporates adapt their commercial communication techniques to concepts related to commemorative days that resonate with the public at large aimed at increasing the return on their commercial actions. The concept is not a new one: events like Black Friday and Mother's Day date back to the mid-20th century. However, the digital transformation, new technologies and globalisation have created a wider range of promotion opportunities through 'dayketing', which consumer corporates all over the world have been quick to embrace.
The Sixth Bankintercard Report, titled 'Dayketing Spending', drawn up by Bankinter Consumer Finance reveals that this strategy has prompted a growth in Spanish spending of between 47% and 450% in the last six years.
Six major spending days were selected to analyse the data. Some are determined by tradition, such as Mother's Day, World Book Day, Christmas and Valentine's Day. Others are imported from the United States or China or 'adopted' from e-commerce platforms, such as Prime Day and Singles' Day. There are even some that encourage spending through mood, such as the saddest and happiest day of the year, the most recent 'dayketing' events to be added to the calendar.
One of the salient findings of the report is that female spending is experiencing the strongest growth on these major shopping days: in the last six years women have increased their spending on New Year's Eve by 101%, compared with a rise of 82% in male spending. However, although female spending is increasing, men still spend more money on purchases on these occasions, even tripling the amount spent by women. For example, men accounted for 71% of Black Friday spending and women 29%.
Analysis of generational profiles reveals that the growth in spending is highest among seniors. And while they have the greatest engagement with traditional days, little by little they are tuning in to the more digital 'dayketing' events. This is demonstrated by the 103% rise in senior spending on Singles' Day from 2016 to 2021, compared with 36% among Millennials. Generation X, born between 1961 and 1980, is the highest spender on most major shopping events, whether traditional or imported, motivated in particular by a more active life and greater purchasing power. For example, in the last six years this generation has spent three times more than seniors on Valentine's Day.
Alfonso Saez Alonso-Muñumer, director and CEO of Bankinter Consumer Finance, points out that 'it is important to note that the pandemic has changed certain consumer habits, which far from diminishing or disappearing have migrated to other channels and other forms of shopping. In-person shopping has been replaced by online shopping in recent years and spending, for example, has shifted from restaurants to supermarkets due to Covid.'
The report also reveals that spending on the selected days is approaching pre-pandemic levels, especially on digital shopping days like Prime Day, which is celebrated today, 12 July, and has prompted an enormous surge in spending in the last six years. Specifically, between 2016 and 2021 it grew by 450% on Amazon and we estimate that in 2022 it will continue to rise and reach a cumulative growth of between 500% and 550%.
The digital transformation has had a far-reaching impact on consumer habits. In-person shopping, where consumers can see, touch and compare items, remains strong but on 'dayketing' events most spending occurs on Amazon. The platform has sustained triple-digit growths in the last six years.
Although the Sixth Bankintercard Report reveals that the emergence of new dates from other continents – such as Black Friday, Cyber Monday and Singles' Day – have prompted a rise in spending that far outstrips the data recorded on traditional days, there is a new reality in which Covid has altered the trend and spending is climbing again on traditional dates. Growths of more than 150% have been recorded.
As for purchase motivation, spending on the more traditional days is different, linked to Spanish culture and the 'new' shopping days. On traditional dates spending is motivated by emotion, where the engagement with tradition is stronger (Mother's Day, Father's Day, Kings' Day, etc.). By contrast, spending on the imported and mainly digital days is driven by the supply.
State of mind is another aspect of spending that is analysed in the report. On days associated with happiness or sadness, both based on a formula with ingredients such as the proximity or distance of the holidays, the January budget crunch or the extra pay, the spending pattern changes: travel purchases rise whereas restaurant spending falls. For example, on Blue Monday last year both male and female spending fell, by 11% and 17%, respectively. On Yellow Day, restaurant spending grew by 368% between 2016 and 2021.
About Bankinter Consumer Finance
Bankinter Group's, 100% owned, consumer finance subsidiary is one of the financial institutions with the highest growth in the Spanish banking sector in recent years, as a result of following Bankinter's prudent credit risk policy. At the end of the first quarter of 2022, the company had a customer base of 1.9 million, an increase of 7% over the previous year. The loan book amounts to 3.808 billion euros, having grown at an annual rate of 31% despite the difficult economic conditions.