• Home
  • News
  • Retail
  • Nearly half of US consumers to spend less this Christmas

Retail

Nearly half of US consumers to spend less this Christmas

By Andrea Byrne

14 Oct 2020

Some 40 percent of US consumers will spend less this year due to the impact of the pandemic and 55 percent will spend the same or more, according to new research.

Meanwhile, 13 percent of shoppers will spend more this holiday season - 54 percent of them under the age of 35. Millennial shoppers (25-38 years old) are expected to spend the most this Christmas, averaging at 1,367 dollars each.

That’s according to research by PWC which surveyed 1,000 US respondents to discover consumer’s shopping expectations and trends.

Consumers willing to shop in-store with Covid-19 safety measures

By more than a two-to-one margin, health and safety is what matters most to consumers. 88 percent of shoppers are willing to shop in-store if pandemic related safety measures are implemented.

The procedures which are most important for consumers are face masks being worn by all store workers and shoppers (59 percent), followed by capacity restrictions (45 percent) and the availability of hand sanitiser (33 percent).

Millennials and boomers (54-73 years old) told PWC that Covid-19 safety measures are crucial when deciding where to make holiday purchases.

Curbside pickup rises in popularity

While home delivery remains the most popular option for consumers who shop online at 81 percent, curbside pickup has increased by 12 percent this year as it offers the ultimate contactless shopping.

The report suggests consumers, particularly those aged between 17 to 38 years-old, want more omnichannel options as they are choosing curbside pickup to get their items sooner, avoid shipping costs and minimise health risks.

Pandemic-altered priorities for consumers

60 percent of consumers will visit fewer stores than usual this holiday season due to the risk of the coronavirus.

Shoppers aged between 17-38 are especially interested in the environmental, social and governance (ESG) practices associated with the products they buy. Retailers should consider ESG as a compelling differentiator, the report said.

46 percent of shoppers will buy more from local and independent retailers, 41 percent will shop more from brands and retailers with a loyalty programme, 39 percent seek contactless payment in-store and 22 percent will shop with more focus on health and wellness.

Photo credit: Pexels