Despite Amazon Prime Days, 52% of consumers plan to do their holiday shopping on Thanksgiving Day or later, according to a study by The NPD Group. Spending will be flat, but not as bad as one might have expected.
Consumers plan to spend an average of $691 this holiday season -- less than last year’s anticipated holiday spending, but on par with 2018 plans.
But 30% say they will spend less because of the state of the economy, versus 23% last year. Another 29% will expend more because they are not as burdened with other expenses such as travel.
Overall, retail spending “has not seen the big declines expected, pointing to the consumer’s willingness to spend despite economic uncertainty,” states Marshal Cohen, chief industry advisor for NPD.
Free shipping will be the main factor consumers use when deciding where to shop this year, the report continues.
While more shoppers will be buying gifts online, the “addition of shipping fees to all of these deliveries is a bigger financial burden on consumers than getting the best deal on the item itself,” Cohen says.