15th Annual Holiday Shopping Survey finds
younger generations likely to be the biggest spenders, prioritizing
time and money on shared experiences
70% of consumers looking to make charitable
contributions
Americans are looking forward to this holiday season, with many
planning to spend the same or more on their holiday shopping
compared with last year and support charitable organizations and
local communities, according to results of the 15th Annual Holiday
Shopping Survey from Accenture (NYSE: ACN).
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There is a disconnect between consumers
and brands ahead of Black Friday and Cyber Monday. (Graphic:
Business Wire)
Holiday spending is likely to rise this year, with consumers
planning to spend US$598 this holiday season, on average, compared
with US$539 last year. Most (71%) said they intend to spend as much
or more than they did last year. Older millennials (32-39 years)
anticipate spending US$705, on average, the highest among any age
group.
The survey of more than 1,500 U.S. consumers found that 76% of
them are looking forward to spending time with loved ones this
holiday season, with 75% planning to buy gifts for close family and
41% buying gifts for neighbors, colleagues and friends. This
“generosity of spirit” will likely extend outside the home, as 70%
intend to make charitable contributions this year and 21% — rising
to 32% among Gen Z and 28% of younger millennials (ages 24-31) —
intend to donate more than they did last year.
The research also highlights the ongoing desire to support local
communities, with 58% of consumers aiming to buy from local and
independent retailers.
“While the anticipated increase in consumer spend will come as
welcome news to retailers, our survey shows that the events of the
past year are likely to affect the spending habits of different
generations of people this holiday season,” said Jill Standish, a
senior managing director at Accenture and head of its Retail
industry group globally. “Retailers need to respond by keeping
safety protocols in-place and tapping into the shopping temperament
in each community they are trying to serve. This requires increased
local decision-making assisted by analytics tools to spot changing
market conditions and evolving patterns of behavior as they
happen.”
In-store shopping returns – is most popular with digital
natives - Gen Z Despite the ongoing pandemic, comfort with
in-store shopping is returning. More than half (54%) of people
overall — and 70% of Gen Z consumers — plan to do most of their
holiday shopping in-store this season, whereas, perhaps
surprisingly, 54% of baby boomers anticipate doing most of their
shopping online.
In addition, 25% of consumers overall — and 42% of young
millennials — said that shared experiences such as cooking classes,
carol singers and children’s play areas could entice them to shop
in-store with one retailer over another.
“The events of the last year has compressed into a matter of
weeks changes that would likely have taken years. For instance, the
pandemic forced older generations to overcome their hesitancy to
shop online, an ongoing trend identified by our findings. On the
flipside, younger consumers – who are already comfortable online –
appear to be seeking out services and experiences that go beyond
shopping,” said Oliver Wright, a senior managing director at
Accenture and head of its Consumer Goods & Services industry
group globally. “Retailers and consumer goods companies must tap
into these behavioral shifts and push forward with their
reinvention in order to engage a diverse, multi-generational
marketplace of millions of individuals.”
Shop early before it’s too late The pandemic, coupled
with the issues of supply and transportation is concerning
one-third (34%) of consumers, who intend to shop earlier this
season as they’re worried about not getting what they need in time
for the holidays. Further, Black Friday and Cyber Monday are
continuing to lose their shine, challenging retailers and brands to
take a longer-term view of the season.
“The declining popularity of Black Friday, coupled with
consumers starting their holiday shopping early, means that
retailers and brands need to engage consumers throughout the
season,” Standish said. “In addition, with many people still
working from home, the ability to browse and shop online, as well
as pick and choose how to obtain items, is much easier for
consumers — and makes it that much tougher for retailers. This
year, more than ever, having a handle on inventory and the surety
of supply will matter to both the consumer and the retailer.”
Consumers prioritizing time and money on experiences
Americans will be redirecting some of their spend from physical
gifts to experiences and services, but this is most pronounced
among the younger generations who are more likely to be travelling,
spending time socially over the holidays, as well as seeking out
and gifting experiences.
“We know that Gen Z and millennials hold the greatest purchasing
power, and this presents a big opportunity for consumer companies
to reach these cohorts,” said Emily Weiss, a managing director at
Accenture and head of its Travel industry group globally.
“Companies must tap into younger consumers’ desire for sharing
experiences but also focus on their growing priorities, including
health and safety, while providing an overall customer experience
focused on ease and convenience.”
For additional insights and findings into the holiday trends,
click here.
About the research The Accenture 15th Annual Holiday
Shopping Survey offers insights into consumer buying patterns
during the holiday time period, providing an indication of retail
performance expectations both on the high street and online at a
key time for the sector. For this year’s study, Accenture surveyed
a representative sample of 1,515 U.S. consumers online, each of
whom had purchased an item for personal use either online or in a
store within the previous six months. Respondents were split
between gender and across age groups, with 14% each of Generation
Zers (aged 18-24), 13% younger millennials (25-31), 14% older
millennials (32-39), 22% Generation Xers (40-55), 21% baby boomers
(56-69) and 16% aged 70+.
A parallel survey of 120 U.S.-based retail executives was also
conducted to explore actions taken by retailers in the run-up to
the 2021 holiday season and compare those with consumer
expectations. All respondents work at the vice president level or
above (42% CEO, 38% SVP or EVP, and 21% VP) for retail companies
with annual revenues of at least US$1 billion. Approximately half
(53%) have revenues between US$1 billion and US$5 billion;
approximately half (32%) have revenues between US$5 billion and
US$20 billion; and the remainder (15%) have revenues greater than
US$20 billion.
Both surveys were conducted in August 2021.
About Accenture Accenture is a global professional
services company with leading capabilities in digital, cloud and
security. Combining unmatched experience and specialized skills
across more than 40 industries, we offer Strategy and Consulting,
Interactive, Technology and Operations services — all powered by
the world’s largest network of Advanced Technology and Intelligent
Operations centers. Our 624,000 people deliver on the promise of
technology and human ingenuity every day, serving clients in more
than 120 countries. We embrace the power of change to create value
and shared success for our clients, people, shareholders, partners
and communities. Visit us at www.accenture.com.
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Aleks Vujanic Accenture +44 7500 974 814
aleks.vujanic@accenture.com
Tara Burns Accenture +44 7850 435 158
tara.burns@accenture.com
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