Jewelry Spending may Up 1% in Holiday Season
Danielle Max www.idexonline.com
According to the latest American Express Spending & Saving Tracker survey, American shoppers are planning on spending an average of $831 on gifts this season, $121 more than last year. Planned spending on jewelry or watches is set to increase by just 1 percent from 22 percent of gifts last year to 23 percent this holiday season.
Despite the increase in spending, most respondents said they will continue with money saving strategies. Pre-holiday shopping is expected to increase significantly with 52 percent planning to buy on Black Friday and Cyber Monday, up 37 percent over last year.
Early bird shoppers are also likely to be out in force on November 26 for the second annual Small Business Saturday. A separate online survey indicates that 38 percent of consumers plan to shop for holiday gifts at small, independently owned, retailers on this day.
Overall, Americans expect to increase their holiday spend by 17 percent compared to last year. Despite the rise in spending, consumers are not as likely to dip into their savings (12 percent vs. 18 percent in 2010) and fewer are planning to carry balances on their credit cards (29 percent vs. 33 percent in 2010). Additionally, 13 percent of consumers say they will tap into their rewards points to help pay for holiday gifts.
“Consumers are savvier than ever, and they have memorized the holiday retail narrative,” said Pam Codispoti, executive vice president and general manager, Consumer Card Services, American Express. “We’re continuing to see consumers employ a range of tactics to stay within budget and, at the same time, maximize their gift-giving potential.”
Mobile technology will be an important resource for holiday shopping this year. About one in four consumers will use their cell phone or mobile device for holiday shopping, from browsing for gift ideas (13 percent) to making purchases (6 percent). But before buying, shoppers will do their homework, using their device to compare prices (12 percent), fire up barcode scanning apps to track down the best deals (9 percent) and access offers on social media sites like Groupon, Foursquare or Facebook (7 percent). Young professionals are especially technologically savvy, with 63 percent planning to use their mobile phones to shop this season.
When it comes to Black Friday shopping, nearly a third of consumers will surf the Internet to research products and compare prices online before buying in-store to obtain hard-to-find items (31 percent), while others will use the Internet to make purchases online (50 percent). Among those who will purchase online, one in four will do so to avoid long lines and crowded stores and because they can do their shopping without leaving their home (25 percent each).
The majority of Black Friday shoppers say they will divide their holiday shopping for gifts between the stores and the web (63 percent), with 34 percent planning to shop in stores exclusively.
In terms of gift lists, the average shopper has nine people to purchase for this year. Consumers will spend the most on children and significant others, $270 and $373, on average, respectively.
The most popular planned items are gift cards (58 percent compared to 53 percent last year), clothing and accessories (48 percent vs. 50 percent) and toys and games (43 percent in both 2011 and 2010).
The American Express Spending & Saving Tracker research was completed online among a random sample of 2,000 adults, including the general U.S. population, as well as two sub-groups – the “Affluents” and “Young Professionals.” Affluents are defined as having a minimum annual household income of $100,000. Young Professionals are defined as less than 30 years of age, having a college degree, and a minimum household income of $50,000.
|
