Export Compliance Daily is a Warren News publication.

CTA Expects 10% Rise in Consumer Tech Holiday Buying Amid Pandemic

CTA forecasts a 10% Q4 spending lift on consumer tech hardware and services to $135 billion, it said Wednesday. Some 81% of U.S. adults are “more likely” or “just as likely” to buy tech products during the holiday season, despite…

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

economic and safety concerns during the pandemic, said the survey of 2,007 U.S. adults Sept. 10-13. “With consumers forgoing budgets for travel and experiences this year, more dollars will go towards technology gifts,” said Lesley Rohrbaugh, director-market research. The tech gifts consumers want most are smartphones, laptops, videogame consoles, TVs and wearables. About 70% of holiday shoppers plan to buy at least one content-related gift this season. Forty-five percent of consumers expect to buy at least one smartphone as a gift in Q4, a 4 point increase. Of those, 66% expect to upgrade to 5G. Interest in education-oriented tech products grew, said CTA. Some 26% plan to gift kits dedicated to engineering, robotics and coding for the holidays, up 5 points. Eighty-five percent plan to buy tech gifts in brick-and-mortar stores this season, 79% online. Two-thirds say the ability to socially distance from others will be a key factor. Consumers plan to buy fewer gifts and spend 18% less this holiday season than last year, reported KPMG. It canvassed 1,000 consumers in September, finding 41% who said COVID-19 fears will prevent them from shopping Black Friday sales in person.