Retail Week spoke to 53 UK CEOs from companies including Gymshark, Beauty Pie, Gousto, Waterstones, Currys and Levi’s for Retail 2022, a report prepared in collaboration with Reflexis to provide retail leaders with a strategic vision for the year ahead.
Six international CEOs, from companies including Alshaya Group, Intersport and the Fauchini Group, were also interviewed for the report.
CEOs have been asked where they are spending their marketing budget this year and responses have been largely unanimous across sectors and internationally.
Facebook is the most popular marketing channel – 87% of retailers spend here and 75% put it in their top five channels.
Instagram is not far behind, with 85% spending on the channel, while 71% spend on YouTube.
TikTok is nearing the top ten, attracting the attention of 56% of retailers who spend on it.
Gymshark International President, Fire Chana, says he’s showing great engagement. “We have seen an incredible surge of growth with TikTok since we entered the platform. The engagement we are seeing has been amazing.”
The retailer currently has 3.5 million followers on the platform, compared to 5.5 million on Instagram.
Moreover, many CEOs have gone on to say that TikTok is the marketing channel that has shown the most what it promises.
However, the correct marketing channel varies by retailer.
At one fashion retailer, 42% of revenue comes from email marketing. Its CEO says, “We have a database of people shoppers and prospects. So, this database is very much the lifeblood of our business, and we are constantly slicing this database and then converting people.”
For a wholesale grocer, newspapers are still important. Its CEO says, “It’s a little bit divided between old and new, so the reason we care about journalism is because it’s an affordable medium that gives us broad coverage.
“Search Engine Optimization and Pay Per Click is because we have a new and different type of customer using these channels. So, it’s a bit more about playing to where our customers are.”
These are just some of the strategic ideas revealed by the 59 CEOs Retail 2022.
Download the report here for free today To find out why too:
88% of retail CEOs expect sales to be “a little bit better” or “a lot better” in 2022
88% Investing in the digital sphere, bringing back the platform is key
71% Invest in employee empowerment