Holiday shoppers set to shell out an average of $875 during this festive shopping spree, according to the National Retail Federation.
Holiday Shopping Trends 2023
Get ready for some serious spending this holiday season! According to the National Retail Federation and Prosper Insights & Analytics, consumers are forecasted to splurge an average of $875 on holiday-related items, marking a 5% increase from 2022.
As we approach the Thanksgiving week, nearly 75% of shoppers are planning a visit to stores, and here's what they're eyeing:
- Clothing (56%)
- Gift Cards (44%)
- Toys (37%)
- Books, Video Games, and Other Media (31%)
Online searches are the top source for gift inspo, followed by friends and family, in-store shopping, and wish lists.
In the world of apparel, things have been a mix in 2023. Retail sales for October, when many companies kicked off their holiday sales, showed flat results. However, analysts highlighted extensive discounting throughout the month.
The gift card market is expected to flourish this season, with a total spend of $29.3 billion. Restaurant and bank-issued gift cards top the list, followed closely by department stores at 26% of consumer spend. Shoppers plan to buy an average of three or four gift cards, each valued at $49.43.
The National Retail Federation anticipates "record levels" of spending this holiday season, predicting a 3% to 4% rise year over year, amounting to between $957.3 billion and $966.6 billion.
While the NRF does not provide specific holiday spending figures for 2022 and 2023 in their forecasts, trends indicate that holiday spending has generally been on the rise in recent years. For instance, Easter spending hit a record $24 billion in 2023, while Mother's Day spending reached a record $35.7 billion. However, the figures for 2022 and the specific projected increases for 2023 are not available in the current data.
- In the rapidly advancing AI industry, retail businesses are expected to utilize AI-driven strategies for their holiday shopping trends in 2023, aiming to optimize sales and customer satisfaction.
- As the holiday shopping frenzy kicks off, consumers in the finance sector are preparing to shell out an average of $875 each, indicating a readiness to invest significantly in holiday-related decorations and gifts.
- The retail industry is gearing up for a boom in the sales of gift cards this season, with analysts projecting a whopping $29.3 billion spent, especially on restaurant and bank-issued gift cards.
- As retail businesses gear up for the holiday season, they are expected to focus on clothing, gift cards, toys, and media as the top-selling items, with online searches serving as the primary source of inspiration.
- In a bid to compete in the competitive retail landscape of 2023, businesses are striving to be ready with their best deals and discounts during the Thanksgiving week, mirroring the anticipated overall increase in holiday spending.
