Three-Quarters of Holiday Shoppers Expect Fewer Discounts: Gartner
Nearly three in 10 consumers are planning to spend less this holiday season than in previous years, and only 10% plan to spend more, reported Gartner Monday. For consumers who anticipate spending more, the vast majority said it’s because of brands raising prices due to inflation, it said.
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.
Gartner canvassed 306 consumers in July, finding nearly half (48%) planning to start their holiday shopping in October or November, with 16% now shopping year-round for holiday gifts, it said. “While consumers have increased their discretionary spending in the past few years, inflationary pressure is impacting their spending plans for this holiday season,” said Gartner analyst Kassi Socha. “This hesitancy around budgets, coupled with new timing from consumers regarding their holiday shopping, will challenge marketers to have an always-on approach that will stress the need for omnichannel adoption.”
With inflation remaining top-of-mind for consumers, price (65% of respondents), value (53%) and free shipping (51%) were the top three identified factors among holiday shoppers for their gift decision making this season, said Gartner. More than three-quarters said they expect fewer, or the same amount, of discounts as last year’s holiday season, despite numerous projections of a heavily promotional holiday period due to excess retail inventories.
Consumers “overwhelmingly” plan to shop online during the 2022 holiday season, with 21% planning to shop more online than in-store this year compared with 2021, said Gartner. Nearly four in 10 (38%) holiday shoppers plan to use one or more “hybrid shopping” services such as curbside pickup or same-day delivery, it said.
For shoppers most partial to online shopping, free shipping is also a top consideration, while 26% “are willing to pay for shipping if it guarantees or expedites on-time delivery,” it said. Retail digital marketing leaders who made investments in omnichannel digital offerings during the height of the pandemic “will continue to experience growth as consumer adoption of these offerings rises,” said Gartner.