The sounds of the holiday season are right around the corner. As we look ahead to the 2025 holiday season, it’s never too early to start planning.

With economic challenges, evolving consumer behavior, and AI advancements shaping the retail landscape, small—and medium-sized businesses (SMBs) must take a strategic approach.

In this article, we’ll explore essential strategies to help SMBs navigate the upcoming holiday season. 

How to Market During the Holidays

Do you wait until the last minute to buy gifts for the holidays? Or maybe you’re the kind of person who plans ahead so you get the best deals and items you’re looking for?

What do your holiday shopping habits have to do with advertising for your business? 

The answer is simple – People who plan ahead get the pick of the litter. They get the first pick and give themselves enough time to adjust as needed, saving money.

Some years are easier to plan ahead, and others, you’re flying by the seat of your pants. The holidays are hectic enough, so planning your business’s advertising and marketing during that time won’t give you the desired results.

A lack of planning will leave you lacking a solid advertising spot that reaches your ideal customers and is worth the price.

A best practice is to start planning for the fourth quarter and the holiday season before November.

Consumers rely on holiday deals like Black Friday and Cyber Monday to get the best deals and avoid last-minute shopping. Many retailers begin advertising earlier deals, such as doing Black Friday-style deals in the summer. It is still a prime time to drive people to brick-and-mortar stores or retailer websites during November, with the Thanksgiving holiday being the focus.

According to EMarketer, while total US holiday sales are expected to rise a modest 1.2% YoY, per their forecast, consumer confidence is fragile, and consumer budgets will remain tight this holiday season, so businesses will need a more strategic marketing approach.

Making Your Brand Shine

Your holiday advertising should resonate with the spirit of the season and your branding. Here’s how to make your brand shine through advertising.

Craft Personalized Promotions & Compelling Messaging

In 2025, personalization and messaging will still be key to successful holiday promotions.

Consumers are increasingly seeking offers tailored to their specific needs and preferences. A study found that 83 percent of consumers are interested in receiving personalized offers, yet only 44 percent felt the offers they received were relevant, according to EMarketer. This gap presents an opportunity for SMBs to refine their promotional strategies. 

Combining personalization with your messaging can also help create a connection. Use catchy slogans and emotionally charged language to connect with your audience. Besides being personalized, your ad copy should also evoke emotions, whether it’s nostalgia, excitement, or the joy of giving. 

Enhance the In-Store Experience

Despite the growing dominance of e-commerce, the in-store experience remains a crucial aspect of the retail strategy.

SMBs can differentiate themselves by creating engaging, experiential shopping experiences through digital marketing. For example, use an email to share an exclusive in-store deal.

A digital presence is also key to building awareness for your brick-and-mortar. Setting up your Google Business Profile can lead potential customers to your store and help in the future with digital advertising. For example, Google will allow you to connect your Google Business Profile to your Google Ads and set the store visits as a conversion point. 

By transforming brick-and-mortar locations into the digital space, SMBs can offer unique experiences that attract customers and encourage in-store purchases.

Utilize AI Tools

AI tools can help create a more personalized shopping experience and optimize a more tailored search for your consumers. According to Salesforce, 19% of holiday purchases were influenced by AI, which is a 6% increase from 2023. Even Google has stepped up its AI shopping tools by implementing AI Mode/shopping assistant and even virtual try-ons. 

By leveraging customer data and AI features, businesses can create more personalized and relevant offers that not only attract attention but also convert to sales.

Pricing and Promotion Strategies

In an era of rising prices and discerning consumers, businesses must remain vigilant about their competitors’ pricing strategies.

Understanding how other brands are pricing their products is essential for maintaining competitiveness. Monitoring the market helps SMBs adjust their pricing and promotions to remain attractive to consumers while ensuring profitability.

The Impacts of Customer Service

Customer service can impact any business. It’s important to be aware of the impacts it can have, including on word-of-mouth marketing. 

Providing outstanding customer service can lead to sharing positive experiences within the customer’s network and even digitally through reviews. By encouraging customers to leave reviews, your business opens the door to potential new customers while also improving the quality of service.

Timing is Everything

Aligning promotions with seasonal events is another critical strategy.

For example, promoting chips and beverages during the football season or over-the-counter medicine during flu season ensures that products are at the top of consumers’ minds when they are ready to buy.

Understanding the purchase cycle of your products can also help you time promotions effectively, capturing sales when consumers are most likely to make a purchase.

Avoiding Over-Promotion

While promotions are essential, it’s important not to overdo them.

Consumers can become trained to expect discounts and may delay purchases until the next promotion, undermining your pricing strategy. To avoid this, SMBs should focus on offering value beyond just discounts, such as exclusive products, superior customer service, or enhanced shopping experiences.

Holiday Season Advertising Planning: Your Roadmap to Success

Effective planning is the backbone of successful holiday marketing.

Setting goals, budgeting, and analyzing results are all crucial factors in creating your holiday marketing plan. Let’s dive into the real meat and potatoes of your plan.

Set Clear Goals

Define your holiday marketing goals, whether it’s increasing sales, expanding your customer base, or boosting brand awareness.

Budget Wisely

Allocate your budget strategically across different marketing channels. Keep a buffer for unforeseen opportunities or challenges.

Content Calendar

Content is more important than ever. Create a content calendar that outlines your holiday-themed content and promotions. Remember that consistency in messaging is critical.

Track and Analyze

Use analytics tools to monitor the performance of your holiday campaigns. Adjust your strategy based on real-time data to maximize results. 

Utilizing tools like Google’s Performance Max campaigns can help SMBs maximize their reach and ROI across various channels, including search, shopping, YouTube, and more.

Jump Right into Your Holiday Marketing

The 2025 holiday season promises to be both challenging and full of opportunities for SMBs.

By understanding the impact of the economic challenges, evolving consumer behavior, crafting personalized promotions, using AI, enhancing the in-store experience, and utilizing data-driven insights, SMBs can position themselves for success.

Start planning now to ensure your business is ready to capture the full potential of the holiday season. 

Download our FREE Holiday Marketing Strategy Guide HERE.

Key Points:

• Make your brand shine: Utilize personalized promotions and messaging, an enhanced store experience, and AI tools.  
• Your business needs a pricing and promotions strategy: Lead with positive customer experiences, mixed with timing and promoting when needed.
• Follow the digital marketing roadmap: Setting goals, budget, and analyzing results are all crucial factors in creating your holiday marketing plan.