This year, families may continue to give gifts during the holidays. However, they might reduce the number of people on their list. In addition, according to a Thursday industry forecast, they may use credit cards or their savings to purchase them.
So who makes it to the list?
The only people in it are children, grandparents and babysitters. It may be your favorite uncle or aunt, too.
According to forecasts from the National Retail Federation, retail sales could increase 6% to 8% from November to December of this year. And compared to the holiday season of 2021, it could grow between $ 942.6 billion and $ 960.4 billion.
As inflation and rising prices put pressure on consumers, households from different income groups are responding in different ways. NRF president and CEO Matthew Shay said the response depends on how the budget is affected.
However, consumers in general remain resilient and spend quite heavily.
“In the face of these challenges, many households will supplement spending with savings and credit to provide a cushion and result in a positive holiday season,” Shay stated.
Moreover, this may apply to low-income households.
Holiday Online is expected to grow 10% to 12% to $262.8 billion and $267.6 billion, respectively. The group said its forecast for 2022 puts it above 2021’s $238.9 billion.
Shay continued retailers did excellent work in starting the holiday too soon. They have also released Black Friday-like endorses in early October. Therefore, it aided in kickstarting holiday sales earlier. And it could back multiple sales increases in the weeks to come.
However, other projections for holiday sales hints there might be a massive setback in gift shopping in the coming weeks.
Consulting company Deloitte anticipates retail sales in November, December, and January to skyrocket from 4% to 6%.
That’s an unfavorable comparison to last year’s high 15.1% soar. However, this year’s forecasted stagnant growth aligns with where holiday sales increased before the pandemic hit.
While giving presents is important for families, many will purchase fewer gifts for fewer individuals this year. This comes as households face soaring inflation, with consumer prices going up by 8.2% in September.
Consequently, that re-molded how consumers allocate their finances for everyday needs and occasional luxuries.
Prices of commodities such as groceries, clothing, shoes, stationery, and more are soaring.
Getting the best prices on essentials and indulgences is all about timing. It is important to know when seasonal products can go on sale and when massive sales are taking place. Plus, it costs you less to have information about upcoming sales.
The pandemic and supply chain problems have affected the last half of 2021. 2022 will likely be a challenging year to project.
However, retailers started sales events close to their expected launch dates.
Now that it’s November, the things to buy that will likely earn you discounts are TVs and electronics. Credits to pre-Black Friday and Black Friday sales, November is the month to purchase TV, tablets, computers, smart home appliances, and smartwatches.
Subsequently, December is the month to buy toys and games. Families usually celebrate Christmas by highlighting kids’ happiness. So, retailers will likely launch sales for toys and games to prevent getting stuck with them following the holidays.
Photo: Big Bronze