Tis’ the season for gathering with friends and family, indulging in festive meals and shopping. And with Canada’s consumer confidence up 2 points in the third quarter, retailers and manufacturers should expect shoppers to be more inclined to stock up on gifts for loved ones as the season progresses. Some shoppers, however, got a jump on the holiday rush by planning ahead. In fact, more than one-quarter (28%) said they started their shopping in September. But planning ahead isn’t for everyone, as another 58% said they planned to start later in the season when they were in the holiday spirit.
So, how much are Canadians planning on spending this year on gifts? Thirty-one percent of Canadians say they plan to spend between $250 and $500 this year, followed by 24% who plan to spend $100 and $250, and 21% who plan to splurge on their friends and family by spending between $500 and $1,000. While both women and men plan to spend more than they did in 2015 (7% more), the real spike in spending will come from younger generations.
While both women and men plan to spend more than they did in 2015 (7% more), the real spike in spending will come from younger generations.
So if consumers plan to spend more this year, what are they planning to spend more on? Not too surprisingly, toys (10%), food (9%) and gift cards (9%) top this year’s list.
With the holiday selling season upon us, it’s crunch time for shoppers to pull everything together before time runs out. Retailers that can help make the shopping journey easier for consumers, whether through online shopping, click and collect options, clear aisles or extra registers open during peak shopping hours, will be well positioned to capitalize on increased spending trends and deliver a little holiday cheer to consumers along the way.
The insights from this article were derived from a Nielsen Homescan Consumer Survey of 5,531 respondents conducted online in English and French in September/October 2016.