EY: One-third of holiday shoppers will spend more in 2024 than last year

Despite low global consumer confidence, shoppers around the world are looking forward to this year’s holiday sales as much as ever. According to research from Ernst & Young, 69% of global consumers plan to enjoy this year’s “treasure hunt,” with about a third saying they will spend more than last year.

Shoppers will wait for the right deal to stretch their budget

Earlier this year, many companies began opening seasonal sales windows in September or October. This was partly a response to the Thanksgiving holiday in the United States at the end of November, which shortened the traditional five-week spending period by a full week. 52% of global consumers will not start spending their holiday budgets until later in the holiday season. EY data shows that many people believe that better deals will appear as seasonal sales unfold. In fact, the majority of consumers around the world said they will only buy products that are discounted or promoted this year, and 67% of consumers will actively track offers in the market to ensure they get the best deal; this proportion rises to 73% for consumers with children.

It’s also true that for many consumers and many products, holiday shopping behavior has nothing to do with snapping up bargains. For example, 48% of global consumers say that if they find the ideal gift, they will buy it regardless of whether it’s on sale. Additionally, 64% of consumers often question the true value of discounts and promotions during holiday sales, and 58% of consumers want an item that wouldn’t be on sale anyway.

Physical stores remain where the majority of consumers (68%) plan to shop during the holiday season.

Platforms such as TikTok, YouTube and Instagram will be important sales channels this season, and Chinese consumers will lead the way. In China, 50% of consumers plan to purchase through shoppable social media, compared to 24% in the United States and 17% globally.

Generation Z’s preferences point to the future: self-gifting and sustainable choices

Young consumers are likely to be the most active shoppers this holiday season.

This holiday season, Gen Z prioritizes organic or sustainably sourced products as they seek out brands that align with their values ​​more than any other generation. One in three plan to buy secondhand items as gifts, either to stretch their budget further or to invest in a higher-quality item they can’t otherwise afford.

One opportunity for companies this holiday season is to meet Generation Z’s expectations for convenience. Younger shoppers place greater value on control over delivery. Compared to other generations, 40% of Gen Z consumers value 2-hour or same-day delivery, compared to only 25% of baby boomers.

The data shows that 47% of younger consumers are particularly willing to buy additional items for themselves if it means they qualify for free shipping, compared to 35% of consumers over 60.