Americans really want to score some deals this holiday shopping season—well, and gift cards.
With just over two months until Christmas, many consumers are starting to strategize how they’ll tackle their gift lists this year. And the current state of the economy will weigh on spending plans for 56% of consumers, according to a new report from the National Retail Federation.
Amid concerns about an affordability crisis, many Americans plan to do a few things more often this year to make the season as merry as possible—including shopping for sales, comparison shopping online, and using coupons. In return, consumers want gifts they’ll actually use, with gift cards once again tipping the wish lists among 47% of survey respondents, more than clothing, books or beauty items, the Washington, D.C.-based trade group found.
“With affordability top of mind, holiday shoppers are taking a thoughtful approach to spending, balancing value with preserving traditions that make the holiday season special,” Allison Zeller, vice president of industry and consumer insights at the National Retail Federation, said in a statement.
HOW SHOPPERS ARE STRATEGIZING
While there are more than five weeks until the unofficial kickoff to the holiday shopping season on Black Friday, many consumers will start getting in the spirit sooner—all in an effort to save money. In fact, 43% of shoppers plan to begin perusing for gifts even before November, with the main motivators being to spread out their budgets or to score deals.
Even late-season shoppers have a strategy, as 46% of shoppers say that by waiting until November and December, they can find the best prices and promotions and 64% of consumers say they’re likely to wait until Thanksgiving weekend to do most of their shopping. Another report similarly shows that a majority of Americans will look for deals on Black Friday and Cyber Monday.
The National Retail Federation is forecasting that holiday spending during November and December will grow 4.2% compared to 2025, to a total of more than $1 trillion. However, inflation is a major factor this year, and could account for nearly half of the projected gain in U.S. retail sales, according to a holiday forecast from the Mastercard Economics Institute.
HOW RETAILERS ARE RESPONDING
What’s clear is that many Americans must really plan out their shopping this year to stretch their budgets. But they’re also open to finding a gift wherever they may shop.
While shopping online for gifts and holiday items dominates among 53% of consumers, people are also keen to get their hands on items in person. If they’re headed to a brick-and-mortar location, grocery stores, discount stores and department stores are popular destinations to check off items on the shopping list of more than 40% of shoppers. But 12% of savvy shoppers also plan to shop at a thrift shop.
Retailers, for their part, very much understand the assignment this year.
“Retailers understand consumer budget priorities and are responding with compelling products, promotions and shopping experiences that make it easier to find value while still capturing the holiday excitement,” Zeller said.
