1、THE STATE OF CONSUMER SPENDINGRetail Holiday Shopping Trends 2023SUMMARY.2HOLIDAY PLANNING.4SPENDING.7SHIPPING.12Table of ContentsSummaryFirst Insights second annual report,“The State of Consumer Spending:Retail Holiday Shopping Trends 2023”reveals that many of the business effects caused by the pan

2、demic-specifically shipping delays and inventory shortages-appear to be in consumers rear-view mirror.While spending remains similar to last year overall,some of the biggest changes in consumer behavior now are around shipping costs and returns.Shipping costs saw the greatest year-over-year growth i

3、n influencing where consumers shop online,up 62%.Shoppers today are more concerned with experience when they decide to shop in-store,and retailers growing problems with returns shows no sign of abating.ONLINE VS.IN-STORE.16GIFT CARDS.21RETURNS.24CONCLUSION.28 ShippingShipping costs have become one o

4、f the top considerations for consumers overall when deciding where to shop online,which grew 62%this holiday season.Unlike last year,more than half of consumers are not concerned about shipping delays this holiday season with a majority expecting shipping to take 3 5 days.Retailers may not need to k

5、eep up with competitors when it comes to costly same day and next day delivery models.Online vs.In-Store ShoppingMore consumers this year prefer shopping both online and in-store.And while consumers who shop in a physical store for holiday are primarily influenced by price,the in-store experience is

6、 whats driving them to physical stores with ease of shopping and customer service being growing influences this season.ReturnsReturns continue to vex retailers,with no easy solution in sight.Over two-thirds of shoppers say they would not shop at a retailer that charges for returns.When it comes to r

7、eturning gifts theyve received,the majority cite poor fit or the wrong style as reasons why they return gifts,with 3/4 of consumers content with a 30-60 day return policy.SpendingHoliday shoppers are willing to spend more than you think.Although 81%of consumers plan to spend the same or more than la

8、st year,rising prices means gifters will get less for more.Yet,its not all about the bargains;theres a trend of splurging on those must-have gifts guaranteed to delight loved ones.Retailers,take note:nows the time to polish your online gifting tools,turning wish lists into sales,and good cheer into

9、revenue.Key Findings3The State of Consumer Spending|Retail Holiday Shopping Trends 2023KEY FINDINGS Half of shoppers will start holiday shopping before Thanksgiving while only 7%wait until the last few weeks before Christmas.Social media plays a key role in researching holiday gifts with segments le

10、veraging certain platforms.HolidayPlanning50%start holiday shopping before ThanksgivingWHEN CONSUMERS STARTED OR PLAN TO START HOLIDAY SHOPPINGQ:When did you start or plan to start holiday shopping?28%19%19%13%12%5%2%Between Nov 1stand ThanksgivingOctoberBlack FridayCyber MondaySeptember orearlierFi

11、rst few weeksof December3rd week of Dec-Week BeforeChristmas Last minuteDec 24th 32%more Gen X consumers start holiday shopping in October compared to other generations.HOLIDAY PLANNING/Males are 38%more likely to start shopping on Black Friday and Cyber Monday than females.Gen Z is 50%less likely t

12、o shop before October and are the most likely to rush to the store for last minute purchases.5The State of Consumer Spending|Retail Holiday Shopping Trends 202353%plan to use social media to assist and research holiday gifting SOCIAL MEDIAS INFLUENCE ON HOLIDAYQ:Do you plan to use social media(Insta

13、gram,Facebook,etc.)to help research and assist in your holiday shopping?Q:(If answered Yes to prior)What social media platforms do you plan on using to research and assist your holiday shopping?(select all that apply)61%57%56%46%34%FacebookYouTubeInstagramTikTokPinterest Males are 2X less likely to

14、use social media to research gift ideas.3/4 of Gen Z shoppers will use social media to get ideas and inspiration with over 2/3 using TikTok and Instagram.Over 70%of males say they use YouTube.About 3/4 of Millennials and Baby Boomers say they use Facebook.41%of females and those planning on spending

15、 more this year say they use Pinterest.HOLIDAY PLANNINGThose planning on spending more overall and on shipping are leveraging social for gifting6The State of Consumer Spending|Retail Holiday Shopping Trends 2023SpendingKEY FINDINGS 87%of respondents will pay full price for a gift if they know the re

16、cipient will love it.A majority of consumers plan to spend the same as last year.Gen Z is almost 44%more likely to spend more this holiday season compared to other generations.Preference of the giftee plays a key role in full price sales.Luxury and toys are some of the top categories where shoppers

17、are cutting back.SPENDINGSPENDING 2023 VS.2022Q:How much are you planning to spend this holiday season compared to last year?81%planning to spend the same or more than last year 56%25%19%SPENDING THESAMESPENDINGMORESPENDINGLESS 33%increase YoY in those planning on spending the same as last year.Gen

18、Z is 44%more likely than other generations to spend more this holiday season compared to last year.Only 15%of Baby Boomers plan to spend more this year.High income earners who make$150k+are 42%more likely to spend more this holiday season while the middle class is most likely to spend the same as la

19、st year.15%21%31%36%Baby BoomersGen XMillennialGen Z87%will pay full price if the giftee really likes it8The State of Consumer Spending|Retail Holiday Shopping Trends 2023SPENDING9%17%22%22%29%Decide againstpurchasing the itemWait for salesSearch for similargift on saleSearch for couponor other deal

20、sBuy it at a fullprice anywayBEHAVIOR IF AN INTENDED PURCHASE ISNT ON SALEQ:If a holiday gift you intend to buy isnt on sale or doesnt have a discount available,what do you typically do?1/3 of shoppers will pay full price for an intended purchase Nearly 40%of Baby Boomers will pay full price for ani

21、ntended purchase.Overall,males are the most likely to pay full price andthe least likely to go the extra step to look for acoupon code or search for a similar item if the itemthey intend to buy is not on sale.Gen Z is the least likely to wait for a holiday sale.Over 1/4 of Millennials will search fo

22、r online couponcodes or other holiday deals.9The State of Consumer Spending|Retail Holiday Shopping Trends 2023Price Optimization Software for RetailLooking to boost your retail sales and increase margin up to 10%?Optimize your pricing strategies with First Insight.LETS TALKSPENDING19%Those spending

23、 less are buying less and cutting back on Electronics and EntertainmentWHERE AND HOW CONSUMERS ARE CUTTING BACKQ:In what ways are you cutting back the most this year compared to last year?(select all that apply)Q:Which categories do you expect to cut back on the most this holiday season?(select all

24、that apply)7.Home&Furniture8.Footwear9.Hobby&Outdoor10.Pets11.Health&Beauty1.Electronics2.Entertainment3.Luxury4.Apparel5.Toys6.Accessories11%12%15%16%20%42%64%Purchasing more storebrandsShopping secondhandShopping online moreBuying items out ofseasonUsing more couponsShopping for dealsBuying less o

25、verall19%SPENDINGLESS/10The State of Consumer Spending|Retail Holiday Shopping Trends 2023Ranking of Gifting Cutbacks18%decrease in luxury gifting compared to last yearLUXURY HOLIDAY PURCHASESQ:Do you plan to purchase luxury items this holiday season?Q:What luxury items do you plan to purchase?(sele

26、ct all that apply).57%43%42%41%40%JewelryAccessoriesApparelFootwearHandbags Over 1/3 of the low income earnersplan to purchase luxury.SPENDING35%YES/Baby Boomers are 5X less likely to wishfor luxury Indulgences as gifts comparedto Gen Z and Millennials.51%of Gen Z plan on purchasing luxurygifts,prim

27、arily accessories and jewelryvs.only 15%of Baby Boomers.11The State of Consumer Spending|Retail Holiday Shopping Trends 2023ShippingKEY FINDINGS The influence of shipping prices on where consumers shop jumped by 62%this holiday season.A correlation exists between shoppers who will pay more for shipp

28、ing-$15 or higherand shoppers who will spend more this holiday season.The majority of consumers are not concerned with shipping delays or inventory shortages.Almost half the respondents expect shipping to take between 3 5 business days.1/3 willing to pay at least$10 for shipping WILLINGNESS TO PAY F

29、OR SHIPPINGQ:How much are you willing to spend for shipping this holiday season?If answered Online or Both to Do you prefer to shop online or in a physical retail store this holiday season?SHIPPING23%26%11%8%14%17%Under$5$5-$10$10-$15$15-$20Over$20Not willing to spend 91%of Gen Z are willing to spen

30、d on shipping.Baby Boomers are unwilling to spend on shipping2X more than other generations.40%of those planning on spending less this yearare not willing to pay for delivery along with over 1/3of Baby Boomers.62%increase in shipping costsinfluencing where people shoponline 13The State of Consumer S

31、pending|Retail Holiday Shopping Trends 2023Most consumers expect shipping to take 3-5 daysHow long do you expect shipping to take?If answered Online or Both to Do you prefer to shop online or in a physical retail store this holiday season?SHIPPING EXPECTATIONSSHIPPING7%12%20%46%14%Same dayshippingNe

32、xt dayshippingTwo-dayshipping3-5 businessdaysMore than 5business days48%YES 64%of Gen Z concerned about shipping delays Nearly a 30%decrease from last year Only 28%for Baby Boomers SHIPPING DELAYSQ:Are you concerned about shipment delays this holiday season?If answered Online or Both to Do you prefe

33、r to shop online or in a physical retail store this holiday season?Late shoppers-including those who start holiday shopping in December-are 2X more likely to expect same day shipping.About 2/3 of those planning on spending less this year are willing to wait 3-5 days for delivery.Middle income earner

34、s are 2X less likely to expect same day shipping-only 4%.14The State of Consumer Spending|Retail Holiday Shopping Trends 2023SHIPPINGWILLING TO SPEND$15 OR MORE ON SHIPPING22%$15+3/4 of the older consumers in this groupGen Xand Boomersare willing to spend$20 or more onshipping,while 50%of younger co

35、nsumers sayingthe same.23%$0-$52x more likely to use social media for gift ideas3x more likely to purchase luxury gifts78%37%$15 or more$0-$561%18%$15 or more$0-$5Those willing to spend more on shipping are 2.5x more likely to spend more15The State of Consumer Spending|Retail Holiday Shopping Trends

36、 2023Online vs.In-StoreKEY FINDINGS 16%more shoppers prefer to shop both in-store and online this holiday season,as opposed to just one format or the other.Top in-store purchases are apparel like casual wear and seasonal apparel while online shoppers are seeking tech and gadgets.Gifters prefer to sh

37、op at Big Box Retailers and eCommerce Marketplaces.54%29%17%13%increase in Baby Boomers shopping bothin-store and online.High income earners making$150k+are the leastlikely to shop in-store and 28%more likely thanother income classes to shop strictly online for theholidays.Low income earners making

38、less than$50k aremostly likely to shop solely in-store for the holidays.Those planning on spending more than last year arethe least likely to shop in-store.ONLINEBOTHIN-STOREWHERE CONSUMERS PREFER TO HOLIDAY SHOPQ:Do you prefer to shop online or in a physical retail store this holiday season?ONLINE

39、VS.IN-STOREMore shoppers prefer to shop both online and in-store71%of those not willing to pay for shipping shop both in-store and online17The State of Consumer Spending|Retail Holiday Shopping Trends 2023Holiday store purchases driven by deals,convenience,and customer serviceQ:What most influences

40、where you shop IN-STORE for the holiday?(select all that apply)Q:What most influences where you shop ONLINE for the holiday?(select all that apply)70%ONLINE VS.IN-STORE PURCHASE INFLUENCES ONLINE VS.IN-STORE Females are more driven by ease of shopping/convenience for both online and in-store holiday

41、 shopping compared to Males.Baby Boomers are influenced 25%more than other generations to shop online based on selection.High income earners making$150k+are influenced the most by quality/value for in-store shopping.Early shoppers are over 60%more likely to be influenced by ease of shopping/convenie

42、nce for both in-store and online compared to late shoppers.22%26%26%36%45%45%62%19%19%30%35%42%42%58%Preference of person receiving giftCustomer serviceReturn policySelectionQuality/valueEase of shopping/conveniencePrice/dealsIn-StoreOnline18The State of Consumer Spending|Retail Holiday Shopping Tre

43、nds 2023Items shoppers are seeking onlinethis season(2023 vs.2022 data)ONLINE VS.IN-STOREONLINE SHOPPINGQ:What items do you plan to purchase ONLINE for your holiday shopping?(select all that apply)Electronics,gadgets&video gamesToysCasual wear Movies,subscriptions&booksSeasonal apparel&outerwearBeau

44、ty&personal careLoungewearPet-related productsJewelry&watchesCasual footwearIN-STORE SHOPPINGQ:What items do you plan to purchase IN-STORE for your holiday shopping?(select all that apply)Casual wear Seasonal apparel&outerwearElectronics,gadgets&video gamesBeauty&personal careToysLoungewearCasual fo

45、otwearJewelry&watchesAppliances&kitchen gadgetsFurniture&home decorSeasonal apparel+30%Athletic footwear+30%Movies,subscriptions&books+31%Jewelry&watches+27%Online shoppers are looking for movies,seasonal apparel,footwear&accessories19The State of Consumer Spending|Retail Holid

46、ay Shopping Trends 2023Customer-Centric Merchandising SolutionsEmbrace the power of data-driven decisions and revolutionize your fashion and apparel business.Dont let guesswork hold you back.With First Insights Retail Decision Platform,you can experience the value of forward-looking analytics and AI

47、 to create collections that truly captivate your customers.Unlock the full potential of your business and start making smarter decisions today.LEARN MOREAbout 2/3 of consumers prefer to shop at big box retailers Q:What type of store do you prefer to shop for the holidays?(select all that apply)58%Ou

48、tlet StoresSmall Businesses&HandmadeDiscountersClub or Bulk StoresSingle BrandDepartment StoreseCommerce MarketplacesBig-Box RetailersCategory StoresTYPES OF RETAILERS CONSUMERS PREFER TO HOLIDAY SHOPONLINE VS.IN-STORE23%28%29%29%31%34%37%47%58%Urban and Higher income earners who make$150k+are the m

49、ost likely to shop at CategoryStores.Females shop more at discounters and smallbusinesses.Baby Boomers are 27%more likely to shop atDepartment Stores and the least likely to shop atsmall businesses for the holiday.Those who plan to spend more this year comparedto least year are nearly 40%more likely

50、 to shop atsingle Brand Stores.20The State of Consumer Spending|Retail Holiday Shopping Trends 2023Gift CardsKEY FINDINGS Gift cards and cash lead the list of“most wanted gifts”this holiday,which are preferred by giftees more than 2X the next category-practical gifts.71%of shoppers will spend the sa

51、me or more on gift cards this holiday versus last holiday.Over 2/3 of gift card recipients use them within a month of receiving them.72%plan to purchase giftcards this yearQ:When do you usually spend gift cards that you receive as a holiday gift from others?If answered Yes to Do you plan to purchase

52、 gift cards this year?REDEEMING GIFT CARDSGIFT CARDS5%11%16%16%22%29%I have never received a giftcard from someoneI forget to spend gift cards anduse them when I rememberWithin a weekWithin two weeksMore than a month afterthe holidays endWithin a month1/3 have unspent gift cards from last years holi

53、day season 81%of those that plan to spend more this year planto purchase gift cards.Lower income earners making under$50k and lateshoppers who start holiday shopping in Decemberare the least likely to purchase gift cards.40%of lower income Millennials making under$50kare most likely to spend gift ca

54、rds within two week.Higher income Gen Z shoppers are the mostforgetful when it comes to spending gift cards.38%of higher income Millennials have unspent giftcards from last holiday season.22The State of Consumer Spending|Retail Holiday Shopping Trends 2023GIFT CARDSQ:What category of holiday gifts a

55、re you most hoping to receive this year?THIS SEASONS MOST DESIRED GIFTSGift Cardsor CashPractical giftsHobbyTrendy orFashion ItemsPersonalizedGiftsExperientialGiftsLuxurious35%15%13%10%9%8%7%Besides cash or gift cards,Gen X ismost hoping for Hobby-Related gifts.50%of Baby Boomers are wishing for gif

56、t cards/Gen Z and Millennials prefer personalizedgifts over 2X more than Gen X and over4X more than Baby Boomers.Higher income Gen Z shoppers wanttrendy or fashionable items.23The State of Consumer Spending|Retail Holiday Shopping Trends 2023ReturnsKEY FINDINGS Retailers continue to grapple withthe

57、onslaught of ecommercereturns.3/4 of all respondents say they willbe deterred from shopping withretailers that charge for returns.Over 50%of consumers return giftsdue to fit/sizing,with only 13%ofrecipients returning gifts becausethey didnt like them.3/4 of consumers will be deterred from shopping a

58、t a retailer if they charge for returns75%expect a 30-60 day return policyQ:What return policy do you expect from retailers?RETURN POLICY EXPECTATIONS30 DAYSRETURNS 48%27%17%8%30 DAYS60 DAYS90 DAYS 90+Over 50%of Males expect 30 days or less forreturns.Middle income earners making$50k-$149k are 2Xles

59、s likely to expect more than 90 days returnpolicies compared to both the lower and upperclass.81%of Baby Boomers and higher income earnersmaking$150k+are most likely to be deterred fromshopping at retailers who charges return fees.25The State of Consumer Spending|Retail Holiday Shopping Trends 2023R

60、ETURNS 48%22%19%11%SOMETIMESRARELYNEVEROFTENGIFT RETURN REASONSQ:What is your primary reason for returning or exchanging holiday gifts?Frequent gift returners 2x more likely to return because they already own the item Nearly 70%of Baby Boomers will return giftsdue to fit and 81%rarely or never retur

61、n gifts.Higher income Millennials making$150k+arethe most likely to return gifts often.30%32%14%15%6%55%15%13%12%5%Didnt fit(size,specifications)Already ownedthe itemDidnt like thestyle or designProduct malfunctionor damagedPrefer to have storecredit or another itemAll gift returnersFrequent Gift Re

62、turners/26The State of Consumer Spending|Retail Holiday Shopping Trends 2023FREQUENCY OF GIFT RETURNSQ:How often do you return gifts that you receive from others?Stop Reacting and Start Predicting.Learn how data-driven decisions can optimize your merchandising and retail strategies.LETS TALKUnlock t

63、he Power of Your CustomerTHIS REPORT WAS POWERED BY FIRST INSIGHT Marketing Campaigns&TargetingPlanningMarket and TrendResearchProduct DesignPricingAssortment Building&RationalizationABOUT USWe empower retailers and brands to make informed product,pricing,and marketing decisions with predictive anal

64、ytics and data from your target consumers.SOLUTIONSNEXT-GEN RETAIL DECISION PLATFORM 28ConclusionAs holiday anticipation builds,First Insights report suggests a hopeful spending trend,with many consumers ready to invest in the spirit of gifting.The focus shifts from the shadow of shipping woes to th

65、oughtful spending and meaningful gifts,where nearly nine in ten shoppers will pay full price for that perfect present.As gifters increase shopping both online and in-store,retailers must create a harmonious shopping experience at every touchpoint,by fine-tuning strategies,especially for returns,ship

66、ping,and customer experience.By truly listening to their customers,retailers can turn silent wishes into sales,ensuring that the holiday spirit is not just about giving,but also about understanding and respondinga strategy that promises to ring in a prosperous new year.ABOUT THIS REPORTABOUT FIRST I

67、NSIGHTFirst Insight is the global leader in Voice of the Customer retail solutions,transforming business decision-making through actionable consumer insights and AI.First Insights platform enables retailers and brands worldwide to boost revenues and profitability by informing strategic decisions wit

68、h consumer data and removing guesses and personal opinions.Trusted by leading retailers,vertically integrated brands,mass merchant retailers,and wholesalers,First Insight leads in optimizing strategy,product,pricing,planning,and marketing decisions.For further information,visit .METHODOLOGYFirst Ins

69、ights findings are based upon a survey conducted through its proprietary platform.The report is based upon samples of over 1,000 consumers fielded in October 2023.The samples were proportionately balanced by generation,region,and gender.Further details on the findings are available upon request.CONT

70、ACTViki ZabalaSVP of MarketingFirst Insight,IMEDIAStacy Berns Michael McMullansbernsbcg- mmcmullanbcg-Berns Communications Group|(212)-994-4660RESPONDENTS1,043HOUSEHOLD INCOMELess than$15,000 8%$15,000 to$34,999 11%$35,000 to$49,999 11%$50,000 to$74,999 20%$75,000 to$99,999 15%$100,000 to$149,999 18

71、%$150,000 to$199,999 8%$200,000 to$249,999 3%$250,000 or more 3%Decline to answer 2%REGIONMidwest 29%Illinois,Indiana,Iowa,Kansas,Michigan,Minnesota,Missouri,Nebraska,North Dakota,Ohio,South Dakota,WisconsinNortheast 26%Connecticut,Maine,Massachusetts,NewHampshire,New Jersey,New York,Pennsylvania,Rh

72、ode Island,VermontSouth 22%Alabama,Arkansas,Delaware,D.C.,Florida,Georgia,Kentucky,Louisiana,Maryland,Mississippi,North Carolina,Oklahoma,South Carolina,Tennessee,Texas,Virginia,West VirginiaWest 24%Alaska,Arizona,California,Colorado,Hawaii,Idaho,Montana,Nevada,NewMexico,Oregon,Utah,WashingtonWyoming29GENERATIONBaby Boomer(1946-1964)26%Generation X(1965-1979)25%Millennials(1980-1994)26%Generation Z(1995-2012)23%GENDER Male 46%Female 52%Non-binary/other 1%Prefer not to say 1%