MT. LAUREL, N.J., Dec. 6, 2018 /PRNewswire/ -- Every year
consumers flock to stores with one goal in mind: finding the
perfect presents for their family, friends and colleagues. This
year, holiday shoppers are eager to find the best deals, with 60
percent planning to compare prices online before purchasing.
However, 66 percent don't plan to finance any of their holiday
spending, missing out on potential discounts and rewards.
TD's survey of 1,000 Americans found that the average consumer
will spend $530 on holiday shopping
this year, with the top gift categories being gift cards (28
percent), technology/gadgets (25 percent) and clothes (19
percent).
Show Me the (Rewards) Money
Despite the potential to
earn rewards when shopping with a credit card, most Americans plan
to shop with a debit card (36 percent). Fewer will use credit card
(34 percent), check (17 percent), store branded credit card (7
percent) and in-store financing options (4 percent).
- Those who plan to finance all or some of their holiday shopping
will do so with a bank-offered credit card (71 percent), a store
credit card (57 percent) or a store-backed payment plan (39
percent)
- Ninety-six percent of Americans who financed holiday shopping
in the past paid it off within a year, including 33 percent who
paid it off immediately and 24 percent who paid it off within the
first month after making a purchase
- Respondents were most likely to pursue financing for their
holiday shopping if doing so offered them significant savings (61
percent)
"Today's shoppers are more savvy, with higher expectations than
ever – they're comparison shopping, engaging in retail loyalty
programs, searching for discount and coupon codes, and taking
advantage of financing programs that allow them to make
budget-friendly payments over time," says Matt Boss, Head of Credit Cards and Unsecured
Lending at TD Bank. "We also know that they're leveraging credit
cards to earn rewards for their purchases. For retailers who offer
consumers the option to complete a significant portion of their
shopping in one place, this is a smart strategy to appeal to
penny-wise shoppers who like to earn some dollars back for their
spending."
Have Yourself a Merry Little Shopping Experience
In a
world with an infinite number of options, today's holiday shoppers
are brand loyal, and value variety and customization over anything
else. That said, Millennials are more likely than Gen-X to stay
loyal to the brands they favor year round during holiday time (45
percent vs. 21 percent, respectively). The two most important
features when deciding where to shop were variety of products (46
percent), discounts offered (41 percent).
- Holiday shoppers will take advantage of various retailers
including online (80 percent), big box stores (72 percent) and
local shops (53 percent)
- The trends most likely to pique shoppers' interests are
customized coupons (37 percent), discounts via geotargeting (35
percent) and enhanced shopping atmospheres (22 percent)
- Eighty-five percent of Americans are somewhat or completely
loyal to the brands they shop all year around during the
holidays
- Thirty-nine percent of shoppers have purchased an item from
social media advertising
"Rewards programs help increase customer engagement – who
doesn't like receiving bonus incentives or perks for being a loyal
customer?" continues Boss. "Further to that, our data shows that
holiday shoppers have financed responsibly in the past, which has
led retailers to offer increasingly innovative financing options
that provide consumers with an enticing combination of savings and
rewards on their holiday purchases. It's a win-win from the
customer point of view. Rewards programs enhance a customer's
overall experience and increase their likelihood to shop at a
retailer again and again, long after the holiday shopping season
has ended."
Survey Methodology
The study was conducted among a
nationally representative group of consumers from October 29 - November 1, 2018. The sample size of
1,000 has a margin of error of +/3 percent. Data has been weighted
by age, gender and region to reflect the populations. The survey
was hosted by global research company MARU / Matchbox.
About MARU / Matchbox
MARU/Matchbox is a professional
services firm dedicated to improving its clients' business
outcomes. It delivers its services through teams of sector-specific
research consultants specializing in the use of Insight Community
and Voice of Market technology.
About TD Bank, America's Most Convenient
Bank®
TD Bank, America's Most Convenient Bank, is one of the 10
largest banks in the U.S., providing more than 9 million customers
with a full range of retail, small business and commercial banking
products and services at more than 1,200 convenient locations
throughout the Northeast, Mid-Atlantic, Metro D.C., the Carolinas
and Florida. In addition, TD Bank
and its subsidiaries offer customized private banking and wealth
management services through TD Wealth®, and vehicle
financing and dealer commercial services through TD Auto Finance.
TD Bank is headquartered in Cherry Hill,
N.J. To learn more, visit www.tdbank.com. Find TD Bank on
Facebook at www.facebook.com/TDBank and on Twitter at
www.twitter.com/TDBank_US.
TD Bank, America's Most Convenient Bank, is a member of TD Bank
Group and a subsidiary of The Toronto-Dominion Bank of Toronto, Canada, a top 10 financial services
company in North America. The
Toronto-Dominion Bank trades on the New
York and Toronto stock
exchanges under the ticker symbol "TD". To learn more, visit
www.td.com.
View original content to download
multimedia:http://www.prnewswire.com/news-releases/td-bank-holiday-retail-report-finds-the-average-holiday-shopper-will-spend-530-this-season-300761355.html
SOURCE TD Bank