Due to a confluence of factors contributing to economic uncertainty, consumer purchasing power is down. As retailers prepare for the holiday season, one question is on many executives’ minds: how will this affect holiday shopping?

We set out to discover how consumers plan to spend and gift this holiday season. Check out the top-level findings here, or dive into the full report, “Nfinite holiday shopper report: What retailers can do to win business amid economic uncertainty”. 

The state of the consumer

Consumers have been tightening their belts lately, and holiday shopping will be no exception. Ultimately, consumers plan to spend less and are willing to put in the work to make more thoughtful purchases so they can still buy gifts for their loved ones without going over budget. 

Careful spending

30% of consumers say their anticipated budget for holiday shopping is less this year than last year. Why? 46% want to save money, while others cite economic uncertainty, changes in personal financial situations, and other economic factors as the top reasons. The data shows us that consumers are really considering the current macroeconomic climate and its current and potential impact on their finances. 

Putting in the research

But consumers aren’t letting these concerns stop them from shopping for holiday gifts altogether. Instead, they are becoming more price-conscious, searching for deals and starting the season’s shopping earlier. In fact, 76% of consumers said price — over all other factors — will most influence their purchasing decisions when shopping online for holiday gifts. And 66% are more likely to actively seek out discounts this year than last year. Put simply, consumers are paying attention.

When it comes to the specifics of how they’ll find these gifts and discounts, consumers plan to use quite a few research methods, including product reviews and ratings, coupon websites, and talking to family and friends. One particular research method retailers should take note of? 55% of consumers said they plan to browse retailer websites or apps, which shows us that the content retailers are putting out matters. 

What retailers can do

It’s clear that consumer needs are changing. Retailers have an opportunity to adjust to these changes and win loyalty and wallet share during a time of uncertainty. By providing budget-friendly options and content that informs and connects with consumers, retailers can position themselves to serve consumer needs. Read the full report to get the rest of the data as well as a complete strategy for meeting consumers where they are this holiday season. 

Download the report