Yule Love This: Tips to Sleigh Holiday Revenue This Season

Holiday carts are shrinking, but consumer expectations are higher than ever. Here’s how to win loyalty — and unlock holiday revenue growth — after the buy button.

When I was little, my favorite holiday movie was Miracle on 34th Street. I loved it for one reason: it proved Santa was real.

Now, working in retail tech, I see a different kind of miracle: retailers trying to deliver joy while racing to hit peak season goals amid tight margins, high stakes, and demanding shoppers. This is a movie about retailers surviving and thriving through the season, scrambling to achieve holiday revenue growth, and making small meaningful moments that keep shoppers happy. 

The scene that captures this perfectly? When store Santa Kris Kringle sends a Macy’s shopper to competitor Gimbel’s to find the toy they couldn’t get at Macy’s. Instead of seeing it as lost revenue, Macy’s embraced it as a loyalty play — and it worked. The awestruck shopper says, “Imagine a big outfit like Macy's putting the spirit of Christmas ahead of the commercial! I’ve never done much shopping here before, but from now on, I’m going to be a regular Macy’s customer.” 

"Imagine a big outfit like Macy's putting the spirit of Christmas ahead of the commercial! I’ve never done much shopping here before, but from now on, I’m going to be a regular Macy’s customer."

— Miracle on 34th Street (1947)

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Post-Purchase Is the Key to Winning Holiday Revenue Growth

Of course, this was in the heyday of in-store Christmas shopping. If Miracle on 34th Street were remade today, Kris wouldn’t just be helping shoppers find the right gift. He’d be making sure Johnny’s bike gets delivered on time, or that Jenny’s skates are easy to exchange if they don’t fit. Because in today’s ecommerce world, loyalty isn’t won at the cash register — it’s won after the buy button.

The holiday season brings more than just a surge in sales — every click and package ties to someone’s joy, and every moment is a chance to earn their lasting loyalty.

That’s why this season, the most powerful way to achieve holiday revenue growth isn’t through doorbusters or flash sales. It’s through the post-purchase experience.

The State of Retail for Holiday 2025: Naughty or Nice?

But first: How do things look for retailers heading into peak season? Shoppers are spending, but doing so more carefully. With inflation and economic uncertainty still looming, consumer sentiment is 35% lower than last year. And pWc reports that 84% of consumers will cut back on spending in the next six months while predicting a 5% drop in consumer spending this peak season.

Still, overall holiday sales are expected to grow between 2.9% and 3.4% year over year, with total retail sales reaching roughly $1.62 trillion between November and January.

Ecommerce, in particular, continues to be the engine of growth — projected to rise 7% to 9%, with online holiday sales estimated at $305 - $310.7 billion. Meanwhile, in-store sales are growing more slowly, underscoring the importance of digital channels and seamless omnichannel journeys. 

But growth isn’t guaranteed. Consumers expect a flawless experience, not just at checkout, but after. That means accurate delivery dates they can trust, seamless mobile journeys, proactive updates that calm post-purchase anxiety, and return processes that feel as easy as ordering in the first place. 

How you’ll grow revenue: Shoppers are still buying, but they expect more value, more convenience, and more certainty. If you reduce friction after the purchase — with flawless delivery, returns, and communication — you’ll capture more sales and repeat business. 

Let’s look at the potential holiday revenue growth opportunities in post-purchase this season.

Accurate EDDs Are on Every Shopper’s Wishlist

Let’s start where the post-purchase journey truly begins: estimated delivery dates.

For holiday shoppers, the magic doesn’t peak at checkout. It peaks when the package lands on their doorstep, right on time and just as expected. 

45% of shoppers are more likely to buy a product when they see an estimated delivery date at checkout.

At any time of year, delivery reliability matters. But during the holidays, it’s everything. Shoppers are navigating gifting deadlines, last-minute orders, carrier cutoffs, and travel plans — and they need to know their gifts will get there on time. Our data shows that 45% of shoppers are more likely to buy a product when they see an estimated delivery date at checkout. So how can you encourage shoppers to hit “buy”?

• Show accurate EDDs on PDPs, in cart, and at checkout
• Add clear delivery timelines so shoppers know exactly what to expect
• Use urgency messaging like “Order by Dec. 12 to get it by Dec. 24,” which can drive up to 5% more sales

And “accurate” doesn’t mean a guesstimate. It means accoutning for all the data: fulfillment speed, carrier performance, origin location, time-in-transit, holiday warehouse hours, and carrier cutoff dates. 90% of consumers say delivery reliability matters more than speed, especially during the holiday season. With an AI-powered engine, you can adjust EDDs in real time using the latest performance data, reducing cart abandonment and setting clearer expectations. Get this moment right, and you become their holiday hero.

How you’ll grow revenue: Get your estimated delivery dates right. When shoppers trust their gifts will arrive on time, they hit “buy” with confidence — and keep coming back long after the holiday lights come down.

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Guard Against Grinches With Shipping Insurance 

Even when you’ve done everything right, things can still go wrong — and during the holidays, the stakes are even higher. Packages get lost, damaged, or stolen, and what should be a joyful moment can quickly turn into frustration. Additionally, it can eat away at margins.

How you respond to delivery issues can make or break a shopper’s holiday season – and their loyalty. Offering shipping insurance gives shoppers peace of mind that if something goes awry, you’ve got them covered. That confidence can be the difference between a one-time buyer and a lifelong shopper.

And the risk is real. Our consumer research shows:

• 80% of consumers worry about packages being stolen during the holidays
• 62% say the threat of porch piracy sometimes or regularly keeps them from shopping online
• 40% have skipped an online purchase in the past year out of fear it wouldn’t arrive

With package volume surging and porch piracy spiking, that anxiety is only amplified during the holidays. Offering insurance at the cart, checkout, or even the thank-you page reassures shoppers their gifts will land safely under the tree. Up to 50% of consumers opt in to shipping insurance year-round, and that number rises during peak season.

Shipping insurance offsets the cost of replacing lost or damaged items while adding incremental revenue, delivering a 1.5% lift in margin.

Shipping insurance is also good for your bottom line. It helps offset the cost of replacing lost or damaged items while adding incremental revenue, often delivering around a 1.5% lift in net margin. What was once an expense becomes a trust-building, revenue-generating add-on.

How you’ll grow revenue: Offer shoppers shipping insurance at checkout. Turning potential holiday mishaps into moments of delight builds lasting loyalty — protecting revenue now and planting the seeds for future sales.

Tailor Season’s Greetings from Click to Christmas Day

Between the buy button and the doorstep, holiday shoppers will still worry. Offer comfort (and joy!) with tailored updates based on order type, shipping method, or consumer segment. Speak directly to each shopper’s needs — whether it’s letting a VIP know their overnight delivery is on track or sending a friendly nudge to a first-time buyer about how to prep for delivery day. 

Clear, proactive updates ease the post-purchase anxiety that 66% of consumers feel after placing an order. What’s more - when brands personalize post-purchase messages based on shopper history or behavior, 96% of consumers say they’re more likely to buy more.

We’ve seen click-through rates increase by more than 50% when brands use notification best practices to run timely, segmented campaigns. And guess what? Proactive updates during the delivery journey can result in 15x incremental revenue: Think dynamic product recommendations and localized content. Narvar customers that use any segmentation or personalization capabilities see a 20% increase in engagement, which helps them drive shoppers back to their site to buy again. 

75% of consumers say texts drive them to make a purchase, proving SMS is a true revenue lever.

And don’t forget about mobile-first offerings: 75% say those texts drive them to make a purchase, proving SMS a true revenue lever. Mobile outreach can help you reduce WISMO queries and build trust by delivering branded, timely messages across channels like SMS, email, and WhatsApp. SMS is especially effective during the holidays, when people are stressed, distracted, and checking their phones constantly.

How you’ll grow revenue: Shoppers engage more when you use the channels they prefer. Personalized, mobile-friendly updates turn routine tracking into trust-building moments — easing holiday jitters, boosting repeat purchases, and strengthening shopper loyalty well beyond the season.

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All They Want for Christmas is a Friction-Free Return

Returns might not feel like the most festive part of the holiday season, but they can be one of the most powerful revenue drivers. During peak, return rates can soar past 30%, and how you handle returns can make or break your bonds with shoppers. 

The data is clear: 84% of shoppers won’t come back after a bad return experience, while 96% will return to brands that make it easy. How you handle a return directly impacts your future sales.

During peak, return rates can soar past 30%. How you handle returns can make or break your bonds with shoppers.

The holiday surge also brings waves of first-time and occasional shoppers, many meeting your brand for the very first time. When returns feel smooth, fast, and transparent, shoppers leave with a positive impression, even if the item didn’t work out. That goodwill fuels repurchases and strengthens your consumer base heading into the new year.

Even returns don’t have to mean lost revenue. Guiding shoppers toward exchanges can keep those dollars with you — think incentives like “Get 10% off when you swap instead of refund.” Even when consumers do return items, offering bonus credit for store returns or same-brand reorders makes it more likely they’ll spend those dollars back with you instead of a competitor.

And the process is just as important as the outcome to shoppers. Easy, self-service return flows cut down on expensive support calls and manual handling, freeing your team to focus on high-value interactions during the holiday rush. Faster return processing gets items back on virtual shelves quickly, so you can resell them at full price instead of discounting them after the season.

How you’ll grow revenue: Transform returns from a cost center to a holiday revenue growth opportunity. You’ll keep revenue in-house, spark repeat purchases, and turn even post-holiday headaches into lasting growth.

Turn Holiday Shoppers Into Next Year’s Revenue Drivers

The holidays may be frenzied, but they’re also full of possibilities. Every post-purchase moment is a chance to turn one-time holiday browsers into loyal, repeat shoppers. Accurate EDDs, proactive communication, shipping insurance, seamless mobile touchpoints, and hassle-free returns help you earn trust, spark joy, and drive revenue long after the ornaments are packed away.

In Miracle on 34th Street, what won everyone over wasn’t just the gifts — it was the unshakable belief that Santa would deliver on his promise. That same trust is what shoppers crave during the holiday rush. Every clear delivery date, proactive update, and hassle-free return is a chance to prove that belief in your brand isn’t misplaced.

So shore up your delivery promises, personalize your post-purchase messaging, make returns effortless, and give shoppers the peace of mind they need to keep hitting “buy.” The brands that win this season won’t just drive holiday sales — they’ll build the kind of loyalty that carries them well into the new year.