Inflation: Christmas Shoppers Shuns Expensive Items

Inflation is expected to change holiday shopping behaviors as consumers look for ways to score deals and minimize expenses. More than half (51%) of consumers plan to buy fewer holiday gifts this year, per a Salesforce report.

Many shoppers plan to cut back, switch to value brands, and shop even earlier in the season to avoid price hikes.

At the same time, consumers are enthusiastic about celebrating the holidays after two years of limited or pared-back gatherings.

Over one-third (38%) of adults expect to spend less this holiday season, per a Digital River survey conducted by Opinium. Roughly two-thirds (67%) say they’ve already reduced spending on non-essential items.

Many shoppers are already struggling with elevated back-to-school costs, which could eat into budgets for the rest of the year and cause households to scale down holiday celebrations.

Where consumers last year prioritized availability over brand name, this year the emphasis will be on the price tag. Salesforce estimates that half of all shoppers worldwide will switch to a different brand this holiday season because of pricing.