Despite the rising cost of living, a majority of holiday shoppers plan to maintain their spending levels from previous years. Salsify’s inaugural 2024 Consumer Holiday Shopping Report reveals that 65% of survey respondents intend to spend the same as last year, with an additional 15% planning to increase their holiday spending. Notably, 61% of respondents, the majority of whom are millennials, indicated they would make personal purchases while shopping for gifts.
The report identified five key trends for the 2024 holiday season. One prominent trend is the “treat yourself” phenomenon, where over half (61%) of shoppers, especially millennials (73%) and Gen Z (68%), are inclined to buy items for themselves during holiday shopping. This trend indicates a season of self-love and personal indulgence.
When examining shopping channels, physical retail stores have emerged as the top choice for Gen Z (58%) and Gen X (62%), surpassing Amazon and social media platforms like TikTok and Instagram. However, Amazon remains the go-to for other demographics, with 53% of millennials and 54% of baby boomers relying on online marketplaces for their holiday shopping.
The report also highlighted that October is the starting point for holiday shopping for 27% of all shoppers, with Gen X leading at 30%, followed closely by millennials at 29%. As November approaches, 26% of shoppers will begin their holiday shopping, particularly Gen Z (32%) and millennials (29%). Cyber Week is expected to capture 19% of shoppers, while 16% plan to wait until December. Interestingly, fewer than 10% of shoppers adopt a year-round approach to holiday shopping.
Black Friday and Cyber Monday remain significant events for holiday shoppers. The report found that 62% are gearing up for Black Friday, with Gen Z leading at 75%, followed by millennials at 69%, Gen X at 62%, and baby boomers at 43%. For Cyber Monday, 45% of shoppers are ready to shop online, with Gen Z (52%) and millennials (49%) showing the most enthusiasm, followed by Gen X (45%) and baby boomers (33%).
In terms of gift choices, fashion and apparel gifts are expected to be the most popular, attracting 57% of shoppers. Personal care and beauty gifts follow closely at 53%, with electronics at 49%, and food and beverage gifts appealing to 44% of shoppers. Alcohol gifts are chosen by 37%, toy and baby gifts by 33%, sports and outdoor gifts by 28%, pet gifts by 20%, and home improvement gifts by 19%.
Salsify’s research director, Dom Scarlett, noted that while 39% of shoppers are prioritising budget-friendly options for everyday purchases, they are willing to spend more during the holidays. Scarlett highlighted the opportunity for retailers to revise their strategies from 2023 and embrace the “treat yourself” trend with tailored promotions such as buy one, get one free offers to boost consumer engagement.
The Salsify 2024 Consumer Holiday Shopping Report gathered insights from 1,026 shoppers across the U.S. and U.K.
itim Group plc (LON:ITIM) is a SaaS-based technology company that enables store-based retailers to optimise their businesses to improve financial performance and effectively compete with online competitors. Itim adds retail value by helping multi-channel retailers optimise their business and their stores to improve financial performance and compete more effectively with the “Amazons”.
