With summer winding down, the holiday season is right around the corner. 84.51°, the Kroger-owned retail data firm, has shared new insights into consumer attitudes towards spending, gatherings and more as the season approaches.
In its 2023 Holiday Insights white paper, 84.51° found that shoppers are still expecting their holiday spending to be impacted by inflation, but are still willing to splurge on some items. 45% of Kroger shoppers surveyed believe inflation will “very much” impact their discretionary spending, an increase from 42% in 2022. Nearly four in 10 respondents (38%) said it will greatly impact travel plans and another 38% said it will greatly impact plans for going out to eat, both of which are also up from a year ago.
One in four shoppers (25%) said that holiday meal plans would be impacted by inflation, despite inflation falling year-over-year. According to the U.S. Bureau of Labor Statistics, inflation was 3.2% in July, compared to 8.5% last year.
Although shoppers expect their buying power to be impacted by inflation, they’re still planning to spend on certain items in the holiday season. Top categories where consumers plan to spend more include gifts (46%), seasonal or limited-edition snack items (44%), desserts (42%) and alcoholic beverages (35%).