Key Digital Commerce Lessons From the 2024 Holiday Season

The 2024 holiday shopping season revealed significant shifts in consumer behavior and expectations that retailers must consider when planning for 2025. Recent research from Applause uncovered several critical insights about digital commerce performance during this crucial retail period.

Mobile commerce solidified its dominance, with 72 percent of consumers preferring smartphones and tablets for holiday shopping. This represents a dramatic evolution from 2020's 43 percent mobile preference, signaling that mobile-first strategies are no longer optional. Retailers succeeding in 2025 will need dedicated mobile testing programs, responsive design optimization, and mobile-specific features such as simplified checkout and mobile wallet integration.

The season highlighted a growing intolerance for technical difficulties, particularly during checkout. When encountering problems, 46 percent of shoppers abandoned their purchases after just two failed attempts. This consumer impatience manifested in real revenue losses, as website crashes, payment processing errors, and coupon application failures drove shoppers to competitors. Success in 2025 will require implementing robust error monitoring systems, real-time alerting mechanisms, and backup systems for critical functions like payment processing and inventory management.

Payment preferences saw notable diversification, with 52 percent of consumers adopting new payment methods during the year. Beyond simply adding digital wallet options, retailers should consider implementing unified payment platforms that can easily integrate new payment methods as they emerge. Regular analysis of payment method usage patterns can help prioritize which new options to add.

The holiday season also exposed gaps in omnichannel execution. While services like buy online, pick up in-store (BOPIS) and curbside pickup are now expected, 48 percent of consumers indicated they would abandon a brand after poor omnichannel experiences. Curbside pickup proved particularly problematic, with 30 percent of users encountering issues. Successful retailers in 2025 will need real-time inventory systems, automated pickup notifications, and dedicated staff training programs for omnichannel fulfillment.

Social commerce emerged as a powerful force, with only 6 percent of consumers reporting no social media influence on their shopping decisions. This suggests the need for integrated social commerce strategies, including shoppable posts, social-specific promotional campaigns, and seamless transitions from social platforms to checkout pages. Retailers should consider implementing social listening tools to track product mentions and sentiment, while developing targeted content strategies for each platform.

The rise of artificial intelligence in retail accelerated, with 37 percent of consumers incorporating AI into their holiday shopping journey. Forward-thinking retailers should explore implementing AI-powered visual search capabilities, personalized product recommendations, and intelligent chatbots for customer service. However, these tools must be carefully integrated and tested to ensure they enhance rather than complicate the shopping experience.

Strategic implementations for 2025 should include:

• comprehensive mobile testing programs with regular performance monitoring and optimization;
• advanced error detection and recovery systems across all digital channels;
• flexible payment platforms capable of quick integration of emerging payment methods;
• automated inventory management systems with real-time synchronization across channels;
• integrated social commerce tools with platform-specific engagement strategies; and
• AI capabilities focused on reducing friction in the customer journey.

The 2024 holiday season demonstrated that digital excellence requires year-round commitment and continuous innovation. As retailers plan for 2025, implementing robust technical solutions while maintaining focus on seamless customer experiences will be crucial for success. Those that learn from this past year's challenges and implement comprehensive solutions across all channels will be best positioned to capture holiday spending and build lasting customer relationships.

Claire Dinsart is associate director of EU delivery at Applause, a world leader in testing and digital quality.