ATLANTA--(BUSINESS WIRE)--Jan 29, 2025--
The viral product phenomenon is driving social media buzz, but some retailers may need to fundamentally rethink their execution strategies, according to new research from RELEX Solutions. While 84% of consumers purchase products they discover on social platforms, most take a measured approach to buying. Only 11% of consumers purchase trending products within 24 hours and 55% take up to a month, suggesting thoughtful consideration over impulse buying.
The study, based on a poll of 1,012 consumers across the U.S., reveals significant operational challenges in actually meeting trending product demand overall, however. While social discovery is high, 68% of consumers need to check 2 to 4+ stores before finding trending items in stock at all, with only 12% finding products at their first store visit. Nineteen percent of consumers give up searching altogether if they can't find a product immediately.
RELEX heard directly from retailers and brands that they’re experiencing these challenges too. In surveying 20 major and medium-sized retailers and brands on-site at NRF Big Show this year, 65% reported experiencing viral product-related stockouts, 45% cited inventory carrying costs as their biggest profitability challenge with viral products, and 45% take more than a week to respond to viral demand spikes.
“There’s clearly an existing gap between social discovery, physical availability, and fulfillment,” said Dr. Madhav Durbha, Group Vice President of CPG and Manufacturing at RELEX Solutions. “But what our data also underscores is that ensuring consistent availability across the extended purchase consideration window rather than simply chasing viral moments will be what drives long-term success for businesses.”
Traditional retail factors also continue to dominate purchase decisions for consumers that retailers should keep in mind. Price (56%) and store convenience (42%) significantly outweigh trend-specific features like a store’s track record of stocking trending items (27%) and dedicated sections for trending products or the staff knowledge of viral products (both 18%) when selecting where to buy. To win viral product sales, retailers should therefore look at cost-efficiency, transparency, and accessibility.
Some additional key findings include:
- Facebook (25%) led in terms of the platforms most influential on consumers’ purchase decisions, but TikTok remained a challenger at 21% with Instagram not far behind (20%); YouTube came in at 16% and Pinterest trailed at just 3%
- Platform behaviors aligned to generational preferences: 43% of 18-29 year olds favored TikTok, 30-44 year olds preferred Instagram (29%) and Facebook (23%), and Facebook led for both 45-60 year olds (28%) as well as those 60+ (34%) As age increases, willingness to check multiple stores inherently decreases, with 19% of 18-29 year olds checking 4+ stores compared to just 7% of those 60+ - meaning retailers should focus on improving convenience, such as better inventory visibility and reliable availability to capture older shoppers moving forward
"What we're witnessing isn't just a shift in consumer behavior – it's a fundamental restructuring of retail's relationship with social commerce," Durbha continued. "The true opportunity as we look ahead in 2025 and beyond lies not just in chasing viral moments as they happen, but in building resilient retail operations that can sustain interest beyond the initial social media buzz. Those who master this balance between digital discovery and physical execution will define the next era of retail success."
Methodology
The RELEX Viral Products & Social Media Influence Consumer report examines how social media influences purchasing decisions, shapes consumer behavior around trending products, and impacts retailers' ability to meet rapidly shifting demand patterns. The survey gathered 1,012 responses in January 2024.
About RELEX
RELEX Solutions provides a unified supply chain and retail planning platform that aligns and optimizes demand, merchandising, supply chain, operations and production planning across the end-to-end value chain. We help retailers, manufacturers, and consumer goods companies like ADUSA, AutoZone, Coles, Dollar Tree and Family Dollar, M&S Food, PetSmart, and The Home Depot drive profitable growth across all sales and distribution channels, leading to higher product availability, increased sales, and improved sustainability. Learn more at: https://www.relexsolutions.com/customers/
View source version on businesswire.com:https://www.businesswire.com/news/home/20250129149444/en/
CONTACT: For more information, please contact:
Jolene Peixoto
Vice President of Communications
RELEX Solutions
Savannah Yawn
Communications Manager
RELEX Solutions
KEYWORD: UNITED STATES NORTH AMERICA GEORGIA
INDUSTRY KEYWORD: LUXURY DISCOUNT/VARIETY TECHNOLOGY DEPARTMENT STORES OTHER RETAIL SUPERMARKET LOGISTICS/SUPPLY CHAIN MANAGEMENT SPECIALTY RESTAURANT/BAR FOOD/BEVERAGE FASHION OFFICE PRODUCTS RETAIL TRUCKING RAIL TRANSPORT CONVENIENCE STORE HOME GOODS SOFTWARE SUPPLY CHAIN MANAGEMENT ONLINE RETAIL
SOURCE: RELEX Solutions
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PUB: 01/29/2025 09:00 AM/DISC: 01/29/2025 09:01 AM
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