Holiday Gift Spending to Hold Steady, Deloitte Survey Says

Americans plan to spend less this holiday season, but will still be opening their wallets for gifts, according to the 22nd Annual Holiday Survey of retail spending and trends commissioned by Deloitte. Consumers were less optimistic about the economy, with only 57% saying they expected it to improve or remain the same next year. Lower-income respondents cited higher food and fuel costs as reasons for their anticipated pullback in spending, while those at higher income levels blamed stock market volatility and declining home values. "American consumers are resilient, and clearly they are in a giving mood this year," said Stacy Janiak, Deloitte's U.S. Retail Leader. "They may be more restrained in their general holiday spending and their personal indulgences, but they are determined to maintain the spirit and generosity of the holidays." According to the study, four in 10 consumers intend to cut back on overall spending in areas such as home improvements, socializing, charitable donations and non-gift clothing, but they still plan to spend the same amount on gifts as last year and even intend to buy more gifts -- 23 on average -- the highest in six years. Department stores are likely to be the top beneficiaries, as respondents indicated them to be the top shopping destination. Gift cards were named as the top gift purchase idea.

Sources: Press release
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