Posted by Leger ● Nov 9, 2023 8:00:00 AM
The state of the economy has left many retailers wondering which holiday shopping trends they’ll be facing this year:
- On average, do consumers plan to spend more or less than last year?
- Are consumers’ holiday shopping preparations different than last year?
- Which categories do consumers expect to purchase in 2023?
Our retail expert, Jenna Varites, recently conducted our 2023 U.S. Holiday Spending Outlook Study to help bring these insights straight to you, empowering you to tweak your last-minute plans to drive up your average dollar.
Download our free report to discover all the holiday shopping trends you need to know to prepare for the 2023 holiday shopping season!
Key 2023 Holiday Shopping Trends
1. Despite the Poor Economic Situation, U.S. Consumers Plan to Spend More
Our recent State of the Economy report revealed that U.S. consumers are pessimistic about the economy, but fortunately, that doesn’t mean they plan to cut down on their holiday spending, which is excellent news for retailers.
As noted by Jenna Varites, Research Director, “Shoppers are not letting concerns about the economy deter their holiday spirit and shopping outlook. In fact, when analyzing this year’s holiday shopping trends, we found that 83% of U.S. consumers will maintain or increase their spending on gifts this holiday season compared to last season, and on average they expect to spend $56 more this year.”
Increased average spend this holiday season is largely driven by younger consumers. Gen Z and Millennials are more likely to say they expect to spend more, while Gen X is the only generation that anticipates their average spend to decrease.
Retailers are most likely to get bang for their buck by ensuring their offerings speak to the younger generations without alienating older shoppers.
2. Consumers Are Changing How They Prepare for Holiday Shopping
As inflation continues to impact the U.S. economy, holiday shopping trends reveal consumers are responding by shifting their shopping behavior.
Consumers who plan to purchase gifts are changing how they prepare to holiday shop this year. Their top behaviors include buying gifts when they see things on sale (50%), doing more comparison shopping (41%), and/or setting aside money specifically for holiday shopping (36%).
It is clear that consumers are cost-conscious and being intentional with their gift shopping this holiday season. They may be especially responsive to retail offers that help them feel like they are getting more for less.
3. The Top Three Holiday Shopping Categories Consumers Expect to Purchase Are Apparel, Gift Cards, and Toys and Video Games
Nearly three-quarters (72%) of U.S. consumers who plan to buy gifts mention that they expect to buy apparel, followed by gift cards (64%), and toys and video games (56%).
Younger consumers are more likely to plan to gift toys/video games and beauty products, while older consumers favor gift cards.
To see the other categories consumers plan to gift in 2023, don’t forget to get your copy of our free report.
The Holidays Are Around the Corner: Get Your Free Holiday Spending Outlook Report
Our 2023 U.S. Holiday Spending Outlook free report features valuable insights on how consumers plan to spend during the holiday season.
With 60% of U.S. consumers who plan to purchase gifts mentioning they’ll do the majority of their holiday shopping in November, and 20% saying they’ll do the majority of their shopping in December, it’s the perfect opportunity to make last-minute changes that help you exceed your customers’ expectations.